(2008-11-26) Nyc Game Industry

I hadn't realized there was enough NYC Computer Game industry action to warrant its own site. But then, I didn't realize that Greg Costikyan was here...

Dec update: Tara Colton's analysis of the local industry is featured: familiar Nyc Challenges. Although New York does not have an EA or Ubisoft, the city has become one of the nation's leaders in two fast-growing sub-sectors of the gaming industry: casual games and mobile games, which are played on cell phones. The city is also developing a reputation as a major player in "serious games," which are used for education, training or simulation.

New York has significant challenges to overcome if it is to cultivate a larger video game industry. Chief among these problems is a lack of technical workers: while video game companies based in the city usually have no problem attracting artists, illustrators and other creative talent, they often struggle to fill positions for programmers and engineers. Indeed, a third of all companies who responded to our survey indicated that the limited technical talent available and the high salaries those workers demand are among the greatest challenges for New York's video game companies.

Many of those interviewed for this report cite two factors missing from New York City that are crucial for growth: a major gaming studio, and a critical mass of small and medium-sized game development firms. In cities that boast robust gaming sectors, the presence of one large company like Microsoft, Sony or Electronic Arts typically serves as a critical anchor for the region's growth. Simply by supplying a large number of jobs for programmers, illustrators, musicians and producers, these firms help attract a talented workforce to the region. Many of these workers eventually branch off to start their own game development companies. Similarly, a critical mass of gaming firms provides additional job opportunities for game developers and signals to aspiring entrepreneurs that the city is an attractive climate for video game companies to prosper. The result of all this is a "gaming ecosystem," where developers can readily move from company to company or start their own shop.

A number of other cities and states, notably Austin Tx and Georgia, have developed strategies and invested significant resources in growing their video game industries. New York's Economic Development Corporation (EDC) did conduct an internal study of the video game sector in 2007, but eventually decided that its small size didn't merit investment of their limited resources. This may have been an understandable conclusion at the time, given the sector's small size.

Related: NYU has launched a game degree program. This is not the first major video game effort for NYU. In October, NYU launched the Games for Learning Institute with $1.5 million in funding from Microsoft Corp. The institute researches the potential of games as learning tools for Math And Science subjects among Middle School students.