Creative thinking profits UK games industry

The UK is a true centre of excellence in games production.

Not only is it the third largest market for games in the world, but it is also the third largest producer.

Tiga, the trade association representing games developers in the UK and Europe, counts around 150 studios in the UK.

These studios develop games for PC, console, handheld and mobile platforms, and include some of the most talented teams in the industry.

But talent alone doesn’t guarantee success.

Especially not now.

The next generation

Three next-generation consoles have been launched since autumn 2005: the Nintendo Wii, Sony’s PlayStation 3 and Microsoft’s Xbox 360.

These sophisticated machines are changing the face of games development.

To make full use of the new technology, much larger development teams are required.

Smaller studios have been unwilling to take the risk of committing so much manpower to any single project.

Reliable performers

Even the major publishers are cautious.

To mitigate the risk, they have tended to rely on licensed intellectual property (IP) – that is, franchises that have already performed well in the games market or elsewhere.

UK developers are not only applying creative thinking to their games, but also to the ways in which they are distributed.

Game sequels and movie spin-offs are seen to have a “guaranteed” minimum return.

So it seems that the larger international companies have the advantage.

Fresh thinking

However, UK-based studios have been proving that innovation and fresh creative ideas will always find a market.

They have built some of the most successful PC and console games of recent years, such as the LEGO: Star Wars series from TT Games; and the original SingStar and EyeToy games, developed at Sony’s London Studios.

UK talent also leads the casual games industry – Ideaworks3D, headquartered in London, is one of the world’s foremost developers for mobile platforms.

Broad-ranging skills contribution

And thanks to the UK’s academic institutions – including four university courses that have been accredited by the computer games industry – yet another generation of skilled, imaginative developers are now emerging.

As well as these games specialists, there is a huge pool of talent in associated creative industries, such as writing, design and music.

From Isaac Newton and John Logie Baird to Tim Berners-Lee and Jonathan Ive, UK minds have always had a remarkable way of marrying science and imagination.

Freedom of expression

Today, UK developers are not only applying creative thinking to their games, but also to the ways in which they are distributed.

UK games map

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Rather than working on other people’s IP, they are increasingly developing original ideas and using digital technology to reach new markets.

UK-based company, Jagex, distributes RuneScape using an online subscription model, and is second only to World of Warcraft in global subscription revenue.

Valuable creativity

Because these routes to market effectively cut out the retailer, the studios themselves are able to recoup a much larger percentage of the revenue.

These channels are also a lucrative source of income for games developers looking to cultivate their own IP.

As more digital channels appear, the demand for original IP will increase and creative thinking will become ever more valuable.

Already, UK developers are proving that they have that creativity – and that good ideas, developed well, can always be profitable.