GAMES developer Eutechnyx is to start recruiting 190 staff as it steps up its expansion into the free-to-play market after landing £1.8m from the Regional Growth Fund.

The Gateshead company is using the cash to bolster the £6m it raised last year to develop a publishing operation for its new online game and car community.

It has been beta-testing the Auto Club Revolution and will next year launch the game which allows players to collect, customise and race virtual high-powered cars online.

Most customers will play for free and earn credits by winning races which they can use to upgrade their collection of supercars, but around 10% like to pay for bigger and better cars, attachments and clothing.

And with the online gaming market expected to grow to be worth £6 billion worldwide by 2013, the launch is a big deal for Eutechnyx which expects to double its £5.5m turnover in the next year and at least double its 180-strong worldwide workforce.

Eutechnyx chief operating officer Darren Jobling said: “This is the biggest area of growth of the online games market. It’s not something that is big in the North East at the moment and we were impressed that the Regional Growth Fund recognised its potential.

“The North East could become the online gaming capital for the UK if we get in early enough. It also enables other companies around here to get to the market as well.

“This investment will allow us to continue recruiting the cream of the development and publishing talent from around the world to join the team. We are looking to start recruiting right away.”

The 24-year-old company, founded and run by Darren and his brother Brian, raised a £6m investment from Amsterdam-based capital investor Prime Technology Ventures last year to develop the idea.

It is still focusing on its console- racing games such as The Fast and the Furious, Ferrari Challenge and the 1.3m-unit selling Big Mutha Truckers, and is working on titles such as 60s biker game Ride To Hell with developer Deep Silver.

And last year Eutechnyx beat massive rival companies to win the contract to develop the official game for Nascar racing ... the fast and furious US sport which is worth billions of dollars and has more than 75 million fans in the States.

That marked a new era of growth for its US business which not only designed the world’s most popular racing sport’s new game but holds the licence for it for at least three years.

As well as an office in the Metrocentre East Business Park, it also has studios in Pittsburgh, US, Chengdu, China and Hong Kong.

Eutechnyx already has a proven track record in raising investment for Auto Club Revolution, having already attracted £6m of funding from Amsterdam-based venture capital company Prime Ventures.