I’ve been meaning to do this update for a few days – but that has been useful to run this topic by a few people. My interest has been sparked by attending a BSAC event on Monday night in the West End, which focused on new models of funding for the games industry, and ways in which developers in particular can access investment, without having to sign exclusive deals with publishers.
BSAC’s involvement was to suggest that the games industry can learn a thing or two from films and the ideas of slate and portfolio funding, better bonding practises, and other financial safeguards, to ensure that investors get their money back whether a game is a hit or not.
In addition there was a theme (I expect to do with the presence of Tiga) of empowering developers by giving them less restrictive partnerships with financiers – ie someone who is interested in return on investment, not on the content of the game.
So – it seems one of the key challenges for games companies going forward will be raising finance for games. This is something that has traditionally involved successfully pitching ideas to publishers but will now include convincing investment bankers to take a percentage stake in a company or property.
There are a few companies doing this already but are the skills needed for this financial world present already in games, or will they need to be developed?
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