Gov. Arnold Schwarzenegger says California must increase tax incentives to movie and television studios as a way to keep them from moving their productions out of state, AP reported.
He says incentives being offered by other states are luring studios away and costing California tens of thousands of jobs.
His comments on Friday came days after Walt Disney Co.'s ABC Studios said it was planning to move production of its popular "Ugly Betty" television show from Los Angeles to New York.
A new law there triples New York's film tax credit. Companies can receive a 35 percent credit if at least three-quarters of their production is filmed in the state.
Schwarzenegger told reporters in the state capital that he has been pushing California lawmakers to approve tax incentives for the film industry for the past four years. So far, he has not succeeded.