US Information Sector NAICS 51
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Industry Summary
The 161,000 establishments in the US information sector produce, manage, and distribute information, including news, entertainment, cultural programming, and data. The sector includes industries that provide the infrastructure and systems to transmit and distribute content, data, and communications, as well as those that allow customers to search for, store, and process data.
Fads and Trends
Success in the media and publishing industries is largely dependent on consumer acceptance, which is subject to fads and trends.
Evolving Technology
The information sector relies on rapidly evolving technology that can fundamentally change the dynamics of individual industries.
Recent Developments
Jun 5, 2025 - Movie, TV Production Decreases In Major Industry Hub
- Filming in Los Angeles is decreasing amid a global production crunch and escalating competition from other regions, according to The Hollywood Reporter. Every category of production decreased year over year during the first quarter of 2025, according to a report from FilmLA, the nonprofit group that handles film permits for the city and county. Filming in Los Angeles decreased over 22% to 5,295 shoot days during the first quarter of 2025.
- Legislation introduced in the US Congress would extend and increase a tax credit that is part of the CHIPS and Science Act to boost domestic semiconductor manufacturing. The Building Advanced Semiconductors Investment Credit (BASIC) would increase the advanced manufacturing investment tax credit from 25% to 35%. Its expiration date, which is December 31, 2026, would be pushed back to the end of 2030.
- The information sector is a leader in realizing a return on investment (ROI) from GenAI, according to payments and commerce analytics firm PYMNTS. About 57% of information firms report very positive ROI from their GenAI deployments, a higher rate than any other sector surveyed. Information sector firms are not just using off-the-shelf solutions but are actively customizing and developing proprietary large language models (LLMs) to meet their unique needs. Some 71% of information firms use GenAI for new content generation and 57% deploy it for automated cybersecurity systems. Information sector executives prioritize innovation and strategic insights as the top benefits of using AI, focusing on building new capabilities rather than just operational improvements, according to PYMNTS.
- US information sector employment and average wages for nonsupervisory employees increased slightly during the first month of 2025, according to the US Bureau of Labor Statistics. Information industry sales are forecast to grow at a 4.94% compounded annual rate from 2025 to 2029, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc. Information sector revenue increased 6.45% year over year and 1.76% quarter over quarter during the second quarter of 2024, according to the US Census Bureau.
Industry Revenue
US Information Sector
Industry Structure
Industry size & Structure
The information sector is comprised of 161,000 establishments that employ 3.6 million workers and generate $2.2 trillion in annual revenue, according to government sources.
- The information sector represents 5.4% of the nation's Gross Domestic Product (GDP) and employs 1.3% of the country's workers.
- The sector is concentrated at the top with the 20 largest firms representing 51% of revenue, but it is fragmented at the bottom.
- In addition to employer establishments, the information sector has 359,000 owner-operated establishments with no employees. Subsectors with the highest numbers of nonemployer establishments are motion picture and sound recording (38%); publishing (18%); and data processing, hosting, and related services (13%). The owners of nonemployer establishments typically perform the work and may outsource support functions like marketing and accounting.
- The information sector shed about 31,000 establishments in 2021, which equals about 11.4% of existing establishments, according to the Bureau of Labor Statistics. However, the sector added about 54,000 new establishments, which is equivalent to 19.8% of existing establishments. As a result, the sector had a growth rate of 8.4%.
- The information sector is forecast to grow its employment base by 7.4% overall in 2021-2031, which is higher than the national average of 5.3% for all jobs, according to the Bureau of Labor Statistics.
Industry Forecast
Industry Forecast
US Information Sector Industry Growth
Source: Vertical IQ and Inforum
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