Issue link: https://nebusinessmedia.uberflip.com/i/518124
Digital Media & Film 38 Doing Business in Connecticut | 2014 falling between 18 and 29 years old. Addition- al Pew research found that mobile and digital technologies have allowed consumers to get more news and spend more time with news. e demand for digital content has also fueled the growth of the digital sector in Connecticut, which is currently home to more than 700 digital media-related compa- nies. Employment in the industry is forecast to grow by more than 22% by 2020, accord- ing to Connecticut Economic Resource Center (CERC) projections. e future for these digital companies looks bright, as advertising dollars are being redirected from traditional media to mobile and online resources. While the $600 bil- lion in worldwide advertising is expected to increase by 6% overall in 2015, the slice of that pie earmarked for digital content is an estimated 60% increase, according to eMar- keter, which tracks global marketing trends. By 2018, the report notes, advertisers will invest nearly one in every four dollars — or $158 billion — in mobile advertising. e State of Connecticut has seen those trends emerging and has tried to attract digi- tal media companies to the Nutmeg state. e cornerstone of that strategy has been the state's film production and digital media tax credit — passed by the state legislature in 2006 — which offers three tiers of tax credit capped with a 30% credit for productions over $1 million dollars. George Norfleet, director of the Office of Film, Television & Digital Media, which op- erates under the state's Department of Eco- nomic and Community Development, has overseen Connecticut's efforts to position the state as a prime destination for entertain- ment and digital media since 2007. "We attract, on average, about 50 productions a year," Norfleet said, "and we handle inquiries from approximately 200 productions annually." ose productions, in turn, have gener- ated consistent economic activity in the state. "We went from production spending $3 million in Connecticut [in 2005] the year before the [tax credit] incentives came online to 35 productions and $75 million in spending the year aer." Since the tax credit's inception, Norfleet said, it has acted as a significant catalyst for economic growth, attracting more than $1 billion in production company spending in the state over the past nine years. Connecticut is one of nearly 40 states that offer some type of film incentive or credit program, according to the National Conference of State Legislatures' data. "e film, television and digital media sector helps drive Connecticut's economy by creating jobs, investing in real estate, and purchasing and renting equipment, supplies, vehicles and more," Norfleet said. In fact, he estimates, production companies now spend about $160 million annually in Connecticut. But those numbers are at risk of drop- ping, according to Bruce Heller, president and co-founder of the Stamford-based Con- necticut Film Center (CFC), a private-sector entity that provides facilities and tax credit brokerage services to production companies. at's because in 2013, the state imposed a two-year moratorium on the tax credit spe- cifically for feature film productions, placing a greater emphasis on luring television pro- duction enterprises, which tend to provide more permanent jobs. at moratorium is set to expire on June 30, 2015. Still, CFC is thriving. "When we founded CFC in 2006, we were focused more on motion picture pro- ductions," Heller explained, noting that nearly one-third of the 150 productions CFC has supported since its inception were major stu- dio endeavors. "But as we've expanded over the past several years, television and digital media have become our primary focus." e strategy is paying off. CFC has owner- ship in more than 1.4 million square feet of commercial space, primarily designed to cater to the sports and entertainment industry. Among other clients, the space is home to NBC Sports Network, which defected from New York in 2011, and the Norwalk-based World Wrestling Entertainment production center. CFC facilities also host the production of People's Court and INDUSTRY SPOTLIGHT › Film, TV & Digital Media George Norfleet, director of the Office of Film, Television & Digital Media, says the film, television and digital media sector is thriving. PHOTO/OFFICE OF FILM, TELEVISION & DIGITAL MEDIA > Continued from page 37 ' e film, television and digital media sector helps drive Connecticut's economy by creating jobs, investing in real estate, and purchasing and renting equipment, supplies, vehicles and more. ' — George Norfleet, director of the Office of Film, Television & Digital Media