The gaming industry in Cyprus is growing into a global powerhouse. 415 companies and €3.2 billion in revenue.

Gaming Industry in Cyprus has reached a scale that may surprise even those living on the island. According to the first comprehensive report by the Cyprus Game Makers Association, 415 verified gaming companies, which in 2025 generated approximately €3.2 billion in gaming revenue.

The results in the mobile segment are even more impressive. Companies operating in Cyprus released 571 new mobile games in 2025, and their productions recorded 615 million downloadsIn terms of downloads, Cyprus ranks third in the world – behind China and Vietnam, and ahead of the United States.

Cyprus Gaming Industry: 415 Companies on the Island

The Cyprus Video Game Industry Report 2025 is the first attempt to comprehensively measure a sector that has developed for years without comprehensive statistics.

CYGMA identified 431 companies, 415 of which were confirmed as operating in Cyprus. With a population of approximately one million, this represents an unusually high density of gaming businesses.

According to the report, there are approximately 1 million inhabitants per million. 415 gaming companiesFor comparison, there are 48 in Finland, 17 in Spain, and 15 in Serbia.

In terms of number of companies, gaming revenues and mobile game installations per capita, Cyprus ranks highest according to CYGMA first place in the worldIn absolute terms, the report places the island among the top ten European countries in terms of industry revenue.

From 169 to almost 400 companies in five years

The scale of development is particularly visible in historical data.

In 2019, there were 169 gaming companies operating here. By 2024, their number had increased to 393, an increase of 133%The average growth rate was around 18% per year.

Employment grew even faster. The number of people working in this industry increased from 1,438 in 2019 to 4320 in 2024.

Interestingly, as many as 72.6% of companies have teams of fewer than 50 people. The Cypriot sector, therefore, isn't just comprised of a few large corporations; it also includes an extensive network of smaller studios and publishers.

Mobile games are the biggest specialty

The strongest part of the sector remains games for phones and tablets.

Until 82.7% of companies covered by the report create products for mobile devices, and 57.5% focus exclusively on this segment.

In 2025, the Cypriot industry released 571 new mobile titlesIn total, games from companies operating on the island were downloaded 615 million times, and the segment's revenue was estimated at approximately 1.8 billion euros.

It is precisely this number of downloads that gives Cyprus a particularly remarkable position. The island ranks in this respect third place in the world, second only to China and Vietnam.

PC and consoles add another €1.4 billion

However, mobile is not the only source of revenue.

According to CYGMA, computer and console games are responsible for approximately 1.4 billion eurosIn 2025, companies from the island released 36 new productions intended for these platforms.

In total, this amounts to approximately €3.2 billion in gaming revenues for companies operating in Cyprus.

However, this figure shouldn't be considered the size of the local consumer market. It's largely an international business – games created, published, and monetized in Cyprus reach audiences worldwide.

Why do gaming companies choose Cyprus?

CYGMA points out that one of the elements contributing to the development of the sector is the Cypriot tax system, including IP Box for eligible intellectual property rights.

From January 1, 2026, the standard corporate income tax rate is 15%. At the same time, the IP Box system allows for a deduction equivalent to 80% of eligible profits from certain IP assets, including copyrighted software. If all conditions are met, this could mean effective taxation of eligible income of approximately 3%.

This doesn't mean, however, that every gaming company automatically pays the 3% tax. The preference applies only to qualified income and depends on factors such as the type of intellectual property and the company's research and development activities.

Games, not iGaming

In the Cypriot context, one more distinction is important.

CYGMA data relates to video game production and publishingThey do not cover the iGaming sector, i.e. online betting and other regulated gambling services, which is a separate industry in Cyprus.

The report shows the scale of activity of companies creating real gaming products – from mobile games to productions for PC and consoles.

The numbers are impressive, but they are estimates.

CYGMA also highlights the significant limitations of its data.

The revenues presented in the report are estimates based on available data, not a compilation of audited financial statements of all 415 companies. The report's methodology and data were analyzed by Alinea Analytics.

This doesn't change the overall picture of the sector. A country primarily associated with tourism, shipping, and financial services has, over the past decade or so, built one of the most concentrated video game production ecosystems in the world.

Source: Cyprus Game Makers Association (CYGMA), Cyprus Video Game Industry Report 2025