Gaming industry thrives thanks to key player — the State

The Irish gaming industry has mushroomed over the past few years, with four times as many firms involved in developing computer games than three years ago.

A report on the industry shows there are 51 companies in the game development sector compared with just 13 in 2009.

The Irish Computer Games Survey 2012 was conducted to examine the size and scale of the industry in Ireland. It estimates the sector is between 6% and 12% the size of the games market in Britain.

In a conservative figure, it is calculated that the industry has generated sales of more than €2bn between 2001 and 2011 — contributing some €440m in Vat revenue.

The report’s author, Jamie McCormick of Gala Networks Europe, said the large increase in the number of gaming developers in Ireland had coincided with the increased availability of access to early-stage supports from government agencies and the graduation of students from specialised third-level gaming courses.

He said the results would suggest that these factors were having a measurable impact on the development of the sector.

Over the past three years, the numbers employed in gaming firms have grown by 91% to its current level of more than 2,800 employees among 83 different enterprises.

However, Mr McCormick warned that historical experience had shown that small indigenous developers experienced many problems when seeking to expand to a large-scale operation.

He claimed significant investment would be required to allow such firms to grow without relying on a foreign takeover and to encourage sustainable organic growth of the industry in Ireland.

Mr McCormick observed that it was “interesting” that so few Irish firms were developing social games for websites such as Facebook given the huge marketing opportunity which existed.

The report will be formally launched today to coincide with the Science Gallery’s new exhibition entitled “Game”, which explores the future of gaming.