Film production in New Mexico began in the 19th century when Thomas Edison made a film about gold mining in the Ortiz Mountains. Today, the state continues to be a destination for not only filmmakers, but game developers as well from all over the world. Film production has evolved into post-production services, animation graphics and other digital media applications supported by three national research laboratories, New Mexico State University, and the University of New Mexico (UNM), which is home to one of the top ten undergraduate schools for video game design. The state offers a 25 percent tax credit for film production, post-production, app and video game creation.
New Mexico’s access to ultra-high speed broadband connectivity—including the National Lambda Rail—exceptional research and education facilities, and very competitive electric power costs contribute to the growth and diversity of the industry here, which now includes gaming, DNA mapping software, health care information technology, flight simulation and more. Gaming is a $400 million industry in New Mexico, spread over 26 casinos located around the state.
- The digital industry in New Mexico includes gaming, DNA mapping software, health care information technology, “serious games”, flight simulation, entertainment, homeland security research and technology development, mobile application development, visualization, and more.
- Advantages include access to ultra-high speed broadband connectivity, exceptional research and education facilities, and competitive electric power costs.
- New Mexico broadband infrastructure includes competitive rates, system and path redundancy, secure high speed data transport, 100% digitally-switched networks, multiple DSL and ISP option, and areas with dark fiber network. Albuquerque also has a 10 Gigabit wave connection to One Wilshire in Los Angeles.
- The National Lambda Rail (NLR), the 12,000 mile high-speed, fiber-optic network, travels through New Mexico from the Colorado border to El Paso, and west to Los Angeles. It provides a national scale optical network infrastructure for research and experimentation in networking technologies and applications.
- Sandia National Laboratories conducts many areas of research that are impacting emerging media industries like its Computational Shock & Multi-physics Department, meshing digital images, seismic imaging, and high resolution 3D simulations.
- Several technologies developed at Sandia National Laboratories, Los Alamos National Laboratories, and UNM have evolved into start-up companies or opportunities for technology commercialization.
- The University of New Mexico is home to one of the top ten undergraduate schools for video game design.
- Four full-service film studios: Albuquerque Studios, I-25 Studios, Santa Fe Studios, and Garson Studios.
- New Mexico has a 25-30 percent tax credit for film production, post-production, app and videogame creation.
- The state offers a pre-employment training program that reimburses contractors related to below-the-line film and television job positions.
- Pivot VFX
- Darkling X
- Attack Research
- Imaginary Computer
- Levitated Toy Factory
- Marshall Monroe Majic
- MeepMeep Web
- Mobile Family Updates
- Real Time Solutions
- SDI Apps
- Stone Design
- TaGG Studios
Rural Software Development Gross Receipts Tax Deduction
Receipts from the sale of software development services may be deducted from gross receipts tax when the service is performed in a rural area. Software development services include custom software design and development and web site design and development, but does not include software implementation or support services. A rural area is defined as any not within the municipal boundaries of the cities of Albuquerque, Las Cruces, Rio Rancho and Santa Fe are not eligible for this deduction.
Web Hosting Gross Receipts Tax Deduction
Receipts from hosting World Wide Web sites may be deducted from gross receipts. Hosting means storing information on computers attached to the internet.
For more information on all incentives New Mexico has to offer, click here.
Sales sheet: Digital Media