RP eyes piece of billion-dollar game development industry

MANILA, Philippines - The Philippines is looking at getting a piece of the billion dollar game development industry as it participates for the first time at the Game Developers Conference in San Francisco, the Department of Trade and Industry (DTI) said.

According to the DTI, the country’s share in the global game market is projected to reach more than $7 million by the end of 2010. This signifies a 30-percent growth from 2009.

Last year, local game development companies saw the boom for games developed for iPhone and leading consoles and gaming platforms. To cope with the increase in demand for game development and game development services, local companies are expanding and hiring more employees.

There are now over 30 game development and game development services companies in the Philippines, employing more than 600 full time employees, mostly programmers and artists.

DTI noted that the Philippines, with significantly lower cost compared to US and Japan, became the favorite outsourcing hub of most game publishers.

Most game development projects outsourced in the country are end-to-end game development projects, concept art design, character generation and design, in-game animation, game testing and quality control, and game community support.

Local companies are also looking forward to an increase in demand for development of virtual worlds, social networking functionality, and massive multiplayer games.

“Game development is really a big business and joining the fair in the US will help us in expanding our business and showing what we Filipinos can share in the game development industry. The United States is a good market to showcase our talents and creativity in game development than any (other) place in the world because many people (buyers) will definitely be there,” said Niel Dagondon, President and CEO of Anino Games.

Anino Games is the largest game development studio in the Philippines and one of the local companies that will join the Philippine delegation.

Anino Games developed and published more than 20 games for leading consoles and gaming platforms such as Shutter Island, Mystery of Cleopatra, Dream Day Wedding: Married in Manhattan, Turbo Subs, Littlest Petshoppe, and Jumbo Classic to name a few.

“Most of our projects are outsourced from foreign clients… and we are lucky because they recognized that we can offer more than just the low labor costs…we have competitive game developers and artists and we can deliver what they (clients) need,” Dagondon said.

Game development outsourcing is one of the potential-rich niches in the outsourcing scale in the near future, projected to reach $30 billion by 2010.

Asia Pacific is predicted to emerge as a new market for console-based gaming, according to global advisory firm Tholons.