Source: John Deighton and Leora Kornfeld, Measuring the Digital Economy (IAB, 2025).
Commentary: The digital economy represents one of the largest segments of the U.S. economy, and it has been one of the most important drivers of economic growth over the last several decades. The digital economy includes firms and individuals that sell digital services or products, operate physical infrastructure foundational to the digital economy, or manufacture hardware or software that supports digital infrastructure. This includes firms in advertising, content creation, e-commerce, broadband infrastructure, information technology, and more.
In 2024, the digital economy of the United States was valued at $4.9 trillion, equivalent to 18 percent of U.S. gross domestic product (GDP). Beyond powering economic growth, the digital economy also supports the employment of millions of Americans across the country. In 2024, the digital economy supported 28.4 million jobs, or 18 percent of nonfarm employment, with workers employed across all 435 congressional districts in the United States. Since 2020, employment in the digital economy has grown by 12.7 percent annually, 12 times faster than the economy overall.
