It's a little dated, but I thought I would repost a TV segment that Channel News Asia did on the Philippines game industry. Our studio got the lion's share of face-time, and most of that cool art at the begining is ours :-)
I'll try to upload the video soon.
--------------------------
By Channel NewsAsia's Philippine Correspondent Christine Ong Posted: 04 October 2008 0027 hrs
MANILA : Game developers in the Philippines are eyeing a slice of the global game development industry, which is expected to grow rapidly in the next couple of years.
Although the Philippines is still a relatively new player in the game development outsourcing industry, Filipino game developers are confident that the country can become the ultimate game development hub in Southeast Asia.
Recognising the country's potential, Australian game development company Matahari Studios set up shop in Manila two years ago.
Eric Marlow, general manager, Matahari Studios Philippines, said: "When you make games, you have to try things that have not been done before. You need to find a culture that is not afraid of taking risks.
"With regards to the culture, this also represents a little bit of crossroads between the West and the East. So one of the big advantage of working here is that the local game developers have (an) appreciation and understanding of both types of games."
Over 20 game development companies employ about 400 game developers in the Philippines. To attract more clients from the United States and Europe, local firms are now doing shared bids for major development projects.
Gabby Dizon, president and CEO, Flipside Game Studios, said: "We are still small... and the industry is big enough that it does not make sense to compete with each other or try to bring each other down, because there is so much more work out there than we could compete for, so what we should do is cooperate with each other in bringing in more work to the Philippines."
Filipino game developers are also producing original games for the global market.
Anino Games produced the first Filipino-made computer game in 2003, which won an award in the Independent Games Festival in 2004.
Niel Dagondon, CEO, Anino Games, said: "The games that we are trying to do fits into the market that we are going to release the game in. We are slowly introducing parts of our culture into our game."
Last year, the global game development industry recorded US$7.4 billion in revenues, and this is expected to go up to US$12.5 billion in 2010. - CNA/ms
Wednesday, October 22, 2008
Kuju Expands Into the Asian Pacific Region
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Whew - I can finally talk about it! Since February we have been in a process of acqusition by Kuju, a UK-based 3rd Party game developer. While I always had confidence the deal would finalize, it was a long road and I am just happy the process is now complete.
Suffice to say we are all very happy to be a part of the Kuju team. They have a number of excellent studios and top-notch people. While the day-to-day operations will change little (we
been acting as a full Kuju studio for quite some time now), it's good to be able to talk about it beyond our studio walls.
You can check out the official press release below. I'll post the new website link when it's ready.
------------------------------------
October 22, 2008
Kuju Group S.E. today announces that it has expanded into the Asia-Pacific region by acquiring Matahari Studios Philippines located in Manila, Republic of the Philippines. The studio will provide a corporate presence for Kuju’s fast growing studio network in the region as well as a proven co-operative development relationship with Kuju’s US studio based in Burlingame, California.
Jonathan Newth, President of Kuju Group, commented: “The partnership between Kuju’s US studio and Matahari has already shown us that there is a great opportunity to grow our talent pool through co-operative development. This approach offers significant advantages over out-sourcing and involves the team in Manila working on specific areas of development as an integral part of an overall project’s creation. The Manila team has already successfully delivered code and design components as well as art & animation assets for Kuju’s US developed projects. We will be working with the team in Manila to further expand the range of development skills they can offer to Kuju’s studios.”
Eric Marlow, General Manager of the newly formed Kuju Manila, added: “We recognised early-on the value in coming to the Philippines. The strength of the local talent pool and emphasis on creativity were the primary reasons why we set up here. We are all extremely excited to be part of such a well-respected group of developers as exists within the Kuju network of studios.”
About Kuju Group S.E.
Kuju Group S.E. is a leading independent game developer on console, PC and handheld platforms. Kuju already operates six studios globally; Kuju America, NiK NaK, doublesix, Chemistry, Headstrong and Zoë Mode.
Kuju Group S.E. is part of the Catalis S.E. media services group. http://www.kuju.com/
Suffice to say we are all very happy to be a part of the Kuju team. They have a number of excellent studios and top-notch people. While the day-to-day operations will change little (we
been acting as a full Kuju studio for quite some time now), it's good to be able to talk about it beyond our studio walls.
You can check out the official press release below. I'll post the new website link when it's ready.
------------------------------------
October 22, 2008
Kuju Group S.E. today announces that it has expanded into the Asia-Pacific region by acquiring Matahari Studios Philippines located in Manila, Republic of the Philippines. The studio will provide a corporate presence for Kuju’s fast growing studio network in the region as well as a proven co-operative development relationship with Kuju’s US studio based in Burlingame, California.
Jonathan Newth, President of Kuju Group, commented: “The partnership between Kuju’s US studio and Matahari has already shown us that there is a great opportunity to grow our talent pool through co-operative development. This approach offers significant advantages over out-sourcing and involves the team in Manila working on specific areas of development as an integral part of an overall project’s creation. The Manila team has already successfully delivered code and design components as well as art & animation assets for Kuju’s US developed projects. We will be working with the team in Manila to further expand the range of development skills they can offer to Kuju’s studios.”
Eric Marlow, General Manager of the newly formed Kuju Manila, added: “We recognised early-on the value in coming to the Philippines. The strength of the local talent pool and emphasis on creativity were the primary reasons why we set up here. We are all extremely excited to be part of such a well-respected group of developers as exists within the Kuju network of studios.”
About Kuju Group S.E.
Kuju Group S.E. is a leading independent game developer on console, PC and handheld platforms. Kuju already operates six studios globally; Kuju America, NiK NaK, doublesix, Chemistry, Headstrong and Zoë Mode.
Kuju Group S.E. is part of the Catalis S.E. media services group. http://www.kuju.com/
Industry Insider - October 2008
Playing Games in Tough Times
by Eric Marlow
In any industry there are always ups and down. The dot-com bust earlier in the decade is proof that what goes up will come down – eventually. And with a looming financial sector “crisis” in the in the US right now, what may be in store for our gaming passion?
Well, if past experience is any indication, very little, Games have proven to be a very resilient sector when it comes to the economy. As it turns out, consumers believe there is much value in purchasing a game. And as a result they may be more likely to spend their hard earned money on a game rather than something else, such as a movie, DVD, or other forms of entertainment such a theme parks.
And it’s true! Games are a great value. For the price of p2700 or less you can buy a top-quality game that will bring you many hours of enjoyment. I recently completed Metal Gear Solid 4 in 23 hours - I know this because the game logs my playtime and reports it back to me at the end of each act. That’s only p117 per hour! And by many comparisons this is a short game. Arcades such as Timezone continue to be a good value too. And of course there is nothing preventing me from exploring the multiplayer aspects of the games or playing them repeatedly on harder levels. Bonus content comes out from time to time as well. So you can see that video games offer customers a high value over more fleeting entertainment options.
Where there may be an effect on games by this crisis is further up the chain. Understanding this requires a bit more insight into how the game industry works. Simply put – what is going on now in the financial industry is a crisis in credit. Credit is something that companies can use to obtain loans and other infusions of capital intended for growth. With tighter credit may come reduced growth opportunities for companies that use credit to fund their projects. Hence, those AAA games that require $10-20 million dollar budgets may be harder to finance.
This may affect certain game developer’s direction, as some studios may rely on credit to support their game development process. But more impactful may be the effect on publishers – they are the money engine that drives this industry. With credit harder to come by, publishers may take a harder look at their upcoming titles and cut back where they can. Most probably this will affect the big budget titles, but it’s possible we may see the effect on smaller games like Nintendo DS or Wii games too.
The good news is that the popular titles that are assured of big revenues will probably be unaffected. The initial effect may be most felt by marginal games where potential revenues are unknown, or where budget overruns and quality control issues are hurting a game’s completion. As a result of these industry factors, some titles may be cancelled altogether because the money used to fund their development may be better allocated to other more profitable games. Since the development time on many of today’s’ games exceeds two years, we may not see an impact for a while.
Since spending money on games instead of other forms of entertainment is a good value, I know I will sleep better knowing that my gaming passion is a smart way to save money. See! You may have been a smart shopper and you didn’t even know it!
Please feel free to drop me an email with any questions you may have. Space permitting I’ll do what I can to answer your questions in upcoming editions. You can reach me at theinsider@octobereighty.com. Game On!
by Eric Marlow
In any industry there are always ups and down. The dot-com bust earlier in the decade is proof that what goes up will come down – eventually. And with a looming financial sector “crisis” in the in the US right now, what may be in store for our gaming passion?
Well, if past experience is any indication, very little, Games have proven to be a very resilient sector when it comes to the economy. As it turns out, consumers believe there is much value in purchasing a game. And as a result they may be more likely to spend their hard earned money on a game rather than something else, such as a movie, DVD, or other forms of entertainment such a theme parks.
And it’s true! Games are a great value. For the price of p2700 or less you can buy a top-quality game that will bring you many hours of enjoyment. I recently completed Metal Gear Solid 4 in 23 hours - I know this because the game logs my playtime and reports it back to me at the end of each act. That’s only p117 per hour! And by many comparisons this is a short game. Arcades such as Timezone continue to be a good value too. And of course there is nothing preventing me from exploring the multiplayer aspects of the games or playing them repeatedly on harder levels. Bonus content comes out from time to time as well. So you can see that video games offer customers a high value over more fleeting entertainment options.
Where there may be an effect on games by this crisis is further up the chain. Understanding this requires a bit more insight into how the game industry works. Simply put – what is going on now in the financial industry is a crisis in credit. Credit is something that companies can use to obtain loans and other infusions of capital intended for growth. With tighter credit may come reduced growth opportunities for companies that use credit to fund their projects. Hence, those AAA games that require $10-20 million dollar budgets may be harder to finance.
This may affect certain game developer’s direction, as some studios may rely on credit to support their game development process. But more impactful may be the effect on publishers – they are the money engine that drives this industry. With credit harder to come by, publishers may take a harder look at their upcoming titles and cut back where they can. Most probably this will affect the big budget titles, but it’s possible we may see the effect on smaller games like Nintendo DS or Wii games too.
The good news is that the popular titles that are assured of big revenues will probably be unaffected. The initial effect may be most felt by marginal games where potential revenues are unknown, or where budget overruns and quality control issues are hurting a game’s completion. As a result of these industry factors, some titles may be cancelled altogether because the money used to fund their development may be better allocated to other more profitable games. Since the development time on many of today’s’ games exceeds two years, we may not see an impact for a while.
Since spending money on games instead of other forms of entertainment is a good value, I know I will sleep better knowing that my gaming passion is a smart way to save money. See! You may have been a smart shopper and you didn’t even know it!
Please feel free to drop me an email with any questions you may have. Space permitting I’ll do what I can to answer your questions in upcoming editions. You can reach me at theinsider@octobereighty.com. Game On!
Industry Insider - September 2008
A Primer – Who’s Who in the Games Industry
by Eric Marlow
When I first started to work with games professionally, there were a number of terms that befuddled me. After all, when I went through school there were no game development classes, so what I know was self-taught. I would have appreciated some kind of primer on who the various parties are, and what do they do. This becomes important as you seek to place yourself in the industry and work with others.
Developers - as a “developer” you are generally tasked with the software coding, 2D and 3D modeling, and animation of the game. You must design how the game will look, play, and feel. But there are different kinds of developers, and knowing what kind of developer you are will give you a better idea as to your responsibilities and who is ultimately responsible for the game’s success.
1st Party Developer – this type of developer is actually part of a company who makes game consoles, hand-helds, or other hardware platforms. Although they may be formed as teams inside the larger corporation, they may be just known by their parent company’s name: Microsoft, Sony, and Nintendo. Occasionally they may brand themselves inside the bigger company to distinguish what they work on: EA Black Box Studios (Need for Speed), and EA Tiburon (Madden) are good examples. They are typically fully-owned by the parent company, and as such their employees reap the benefits of working directly with the company who pays for and publishes their work.
2nd Party Developer - 2nd party developers sit somewhere in-between the corporate-owned entities of 1st party developers, and the independent 3rd party developers. They are usually completely separate from the hardware makers, but they have a unique relationship with them and usually tied to them through formal relationships or long term contracts. They become known for their affiliations with the hardware maker, and may actually be acquired by the hardware company at some point. Examples would be: Level 5 and Insomniac Games.
3rd Party Developer – this kind of developer is the most common type of developer. Not aligned to any particular platform, most 3rd party developers do concentrate on types of hardware (i.e. consoles, PCs, or handhelds). But given the nature of the available work, many 3rd party developers tend to make themselves available on most major platforms such as those made by Sony, Microsoft, Nintendo, and the PC. They typically have good relations with all hardware makers, but over time they may start to focus on a particular platform. Examples include: Id Software (Doom, Quake), Epic Games (Unreal), Kuju (Battalion Wars, SingStar), and Valve (Half-Life). Many popular 3rd party developers go on to be acquired by the big publishers – such developers include: Bioware (EA), Pandemic (EA), Red Storm (Ubisoft), and Blizzard (Vivendi, now Activision Blizzard).
Publishers - Historically a publisher was the big fish in the pond that took games and brought them to market. From the outset they are responsible for funding the development of the 1st, 2nd, and 3rd party games, marketing them, manufacturing them, and then passing them to distributors and retailers to stock on their shelves. Companies such as Electronic Arts, Ubisoft, Sega, Activision Blizzard and THQ are the biggest players in the market. Now this link in the value chain is a bit more nebulous - a number of large 3rd party developers are distributing their products directly as digital downloads, thus bypassing the traditional publisher/retailer arrangement. In-effect they are becoming publishers and retailers themselves. Valve is a good example of this type of company with their Steam system. Companies that operate mostly online MMOs, such as eGames and Level Up are also considered publishers, as they take the online games and provide the backend, localized support.
Distributors – these are companies that sit in-between the publishers and the retailers, and they are responsible for taking the software boxed products and moving them to the retail outlets. Big publishers like EA, Activision Blizzard, and Ubisoft have their own in-house distribution groups, and may move products directly to the large retailers such as Wal-Mart, Target, and GameStop. Distributors typically handle smaller stores and overseas outlets beyond the reach of most publishers. Distributors are usually less-known companies, and include the likes of Ingram Micro, Tech Data, and Navarre.
Retailers – retailers are the brick and mortar stores people are familiar with. Here in the Philippines, Datablitz is one of the biggest. Department stores and mail order houses can also be game retailers too. In the US, companies like Wal-Mart, K-Mart, GameStop, Costco, Amazon, and Best Buy are well-known. Beyond the physical stores, a retailer can also be vendors who sell their products digitally, such as the Steam system by Valve. For the arcade platform, Timezone can be considered a retailer.
End-Customer – the entire process would mean nothing without YOU, the end-customer. As an end-customer you are responsible for turning over your hard earned money to the retailers so you can play your games. You may buy your games directly from a physical store location (like Datablitz), through net cafes that connect to online publishers, through mail order, or through digital downloads. As an end-customer, your desires play a key role in not only what games are available, but how you receive them.
Please feel free to drop me an email with any questions you may have. Space permitting I’ll do what I can to answer your questions in upcoming editions. You can reach me at theinsider@octobereighty.com. Game On!
by Eric Marlow
When I first started to work with games professionally, there were a number of terms that befuddled me. After all, when I went through school there were no game development classes, so what I know was self-taught. I would have appreciated some kind of primer on who the various parties are, and what do they do. This becomes important as you seek to place yourself in the industry and work with others.
Developers - as a “developer” you are generally tasked with the software coding, 2D and 3D modeling, and animation of the game. You must design how the game will look, play, and feel. But there are different kinds of developers, and knowing what kind of developer you are will give you a better idea as to your responsibilities and who is ultimately responsible for the game’s success.
1st Party Developer – this type of developer is actually part of a company who makes game consoles, hand-helds, or other hardware platforms. Although they may be formed as teams inside the larger corporation, they may be just known by their parent company’s name: Microsoft, Sony, and Nintendo. Occasionally they may brand themselves inside the bigger company to distinguish what they work on: EA Black Box Studios (Need for Speed), and EA Tiburon (Madden) are good examples. They are typically fully-owned by the parent company, and as such their employees reap the benefits of working directly with the company who pays for and publishes their work.
2nd Party Developer - 2nd party developers sit somewhere in-between the corporate-owned entities of 1st party developers, and the independent 3rd party developers. They are usually completely separate from the hardware makers, but they have a unique relationship with them and usually tied to them through formal relationships or long term contracts. They become known for their affiliations with the hardware maker, and may actually be acquired by the hardware company at some point. Examples would be: Level 5 and Insomniac Games.
3rd Party Developer – this kind of developer is the most common type of developer. Not aligned to any particular platform, most 3rd party developers do concentrate on types of hardware (i.e. consoles, PCs, or handhelds). But given the nature of the available work, many 3rd party developers tend to make themselves available on most major platforms such as those made by Sony, Microsoft, Nintendo, and the PC. They typically have good relations with all hardware makers, but over time they may start to focus on a particular platform. Examples include: Id Software (Doom, Quake), Epic Games (Unreal), Kuju (Battalion Wars, SingStar), and Valve (Half-Life). Many popular 3rd party developers go on to be acquired by the big publishers – such developers include: Bioware (EA), Pandemic (EA), Red Storm (Ubisoft), and Blizzard (Vivendi, now Activision Blizzard).
Publishers - Historically a publisher was the big fish in the pond that took games and brought them to market. From the outset they are responsible for funding the development of the 1st, 2nd, and 3rd party games, marketing them, manufacturing them, and then passing them to distributors and retailers to stock on their shelves. Companies such as Electronic Arts, Ubisoft, Sega, Activision Blizzard and THQ are the biggest players in the market. Now this link in the value chain is a bit more nebulous - a number of large 3rd party developers are distributing their products directly as digital downloads, thus bypassing the traditional publisher/retailer arrangement. In-effect they are becoming publishers and retailers themselves. Valve is a good example of this type of company with their Steam system. Companies that operate mostly online MMOs, such as eGames and Level Up are also considered publishers, as they take the online games and provide the backend, localized support.
Distributors – these are companies that sit in-between the publishers and the retailers, and they are responsible for taking the software boxed products and moving them to the retail outlets. Big publishers like EA, Activision Blizzard, and Ubisoft have their own in-house distribution groups, and may move products directly to the large retailers such as Wal-Mart, Target, and GameStop. Distributors typically handle smaller stores and overseas outlets beyond the reach of most publishers. Distributors are usually less-known companies, and include the likes of Ingram Micro, Tech Data, and Navarre.
Retailers – retailers are the brick and mortar stores people are familiar with. Here in the Philippines, Datablitz is one of the biggest. Department stores and mail order houses can also be game retailers too. In the US, companies like Wal-Mart, K-Mart, GameStop, Costco, Amazon, and Best Buy are well-known. Beyond the physical stores, a retailer can also be vendors who sell their products digitally, such as the Steam system by Valve. For the arcade platform, Timezone can be considered a retailer.
End-Customer – the entire process would mean nothing without YOU, the end-customer. As an end-customer you are responsible for turning over your hard earned money to the retailers so you can play your games. You may buy your games directly from a physical store location (like Datablitz), through net cafes that connect to online publishers, through mail order, or through digital downloads. As an end-customer, your desires play a key role in not only what games are available, but how you receive them.
Please feel free to drop me an email with any questions you may have. Space permitting I’ll do what I can to answer your questions in upcoming editions. You can reach me at theinsider@octobereighty.com. Game On!
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