My View: Mark Elliott, DigitalCity Business
THE global video games market is expected to grow from $52.5bn in 2009 to $86.8bn in 2014.
Despite this growth, however, the UK games industry has seen its total workforce decrease by 9% since 2008.
The growth in the global market is being met by supply from places like Canada and the US.
These countries offer tax incentives for growth and actively support this high-value industry.
Similar attempts to introduce tax relief were made here in the UK only to be quickly abandoned with the arrival of the current Government.
As a result it’s simply more expensive to develop games in the UK and our industry faces a “brain drain” of talent abroad.
The past year or so has also seen well-established companies across the country closing their doors.
In August, 2010, one of the UK’s biggest video games companies - Scotland based Realtime Worlds - went into administration with the loss of more than 150 jobs.
Now big games are seen as simply too big a risk.
The industry has adapted and we’re now seeing a renaissance of independent or “indie” developers, making low-cost games where overheads and development costs are low.
There is no relationship needed with retailers or traditional publishers as games are sold on websites or in app stores, accessing a global audience.
So when a company emerges, producing big games despite poor national policy, a skills shortage and a reduced risk appetite, we need to do a double take.
One such company is Double Eleven.
Based at DigitalCity Business’ Boho One building in Middlesbrough, Double Eleven was founded in 2010 by lead engineers from the company that brought you Grand Theft Auto.
Bucking the national trend they attract talent from all over the world and were recently revealed as the architects behind the technology driving LittleBigPlanet on Sony’s upcoming mobile gaming device, PS VITA.
They’ve grown massively in the past year, and are looking to expand just as aggressively in the next one.
It shows just what can be done when you get a group of very talented people together focused on a common goal.
And it shows that digital companies in Teesside really can compete and win against the world’s best.
But there’s always a rub - and the one here means I don’t know whether to laugh or cry.
Having written this column, I found out that Mark South - our lead on cluster development here at DigitalCity Business - is going to join them.
Mark comes from the computer games industry, that’s where his real passion lies, and they offered him a role he simply couldn’t say no to.
So while I'll be sad to see him leave, I’m glad he’s staying at DigitalCity, really pleased that Double Eleven are gearing up for even more successful times, and I wish them both the best.
Good luck Mark!
:: Mark Elliott, DigitalCity Business