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Showing no sign of an economic slowdown, the Australian video and computer game industry recorded $1.96 billion in sales last year, an increase of 47 per cent from 2007 according to statistics from market research group GfK Retail and Technology Australia.

That figure places the games industry as Australia's most successful entertainment business last year. Video game hardware and software sales more than doubled the $946million made through ticket earnings at the box office, and eclipsed the DVD industry's $1.4billion sales by more than 40per cent.

The Interactive Entertainment Association of Australia, which released the 2008 figures, attributed the explosive growth in game sales to the popularity of family-friendly games which grew by 137 per cent last year.

"Gaming in general, but in particular family gaming, offers much better re-playability than other forms of entertainment such as DVDs or going to the movies," IEAA chief executive officer Ron Curry said.

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