Conifers have dominated forests for more than 200 million years and are of huge ecological and economic importance. Here we present the draft assembly of the 20-gigabase genome of Norway spruce (Picea abies), the first available for any gymnosperm. The number of well-supported genes (28,354) is similar to the >100 times smaller genome of Arabidopsis thaliana, and there is no evidence of a recent whole-genome duplication in the gymnosperm lineage. Instead, the large genome size seems to result from the slow and steady accumulation of a diverse set of long-terminal repeat transposable elements, possibly owing to the lack of an efficient elimination mechanism. Comparative sequencing of Pinus sylvestris, Abies sibirica, Juniperus communis, Taxus baccata and Gnetum gnemon reveals that the transposable element diversity is shared among extant conifers. Expression of 24-nucleotide small RNAs, previously implicated in transposable element silencing, is tissue-specific and much lower than in other plants. We further identify numerous long (>10,000 base pairs) introns, gene-like fragments, uncharacterized long non-coding RNAs and short RNAs. This opens up new genomic avenues for conifer forestry and breeding. The draft genome of the Norway spruce (P. abies) is presented; this is the first gymnosperm genome to be sequenced and reveals a large genome size (20 Gb) resulting from the accumulation of transposable elements, and comparative sequencing of five other gymnosperm genomes provides insights into conifer genome evolution. The first draft gymnosperm genome, that of a Norway spruce (Picea abies), is published this week by the Spruce Genome Project consortium. The genome is from a tree originally collected in 1959 in eastern Jämtland, central Sweden. At 20 gigabases, the genome is more than a hundred times larger than that of the model plant species Arabidopsis, but the two contain a similar number of genes. The large genome size is the result of an accumulation of transposable elements. Comparative sequencing of five further gymnosperm genomes suggests that transposable element diversity is shared among extant conifers. The sequence data are available for public access from the ConGenIE website ( http://congenie.org/ ).