Posts Tagged ‘game developers’

2009 survey reveals 4% drop in average game developer salary

Wednesday, April 14th, 2010

Game Developer Research, the folks in cahoots with Game Developer Magazine and Gamasutra have recently released their ninth annual Game Developer Salary survey. The survey found an overall decrease in the average game dev salary of 4% when compared to the same figures from 2008. The average game developer took home approx. $79,000 in 2008, while 2008 saw that salary slip to $75,573.

logogdresearchKeep in mind, 2008 was a banner year for game developers, as they set an industry average record that year, not something to easily top. This drop in salaries is the first case on record of a significant average salary decrease. Game Developer Research points to a loss in consumer confidence, and attributes this to the current economic climate. And while this is a drop in average salaries, the number did not dip below 2007’s number, indicating that this may be a direct result of out of control Wall Street bankers making crazy bets on commodities failing.

Game Developer Research also took a look at today’s independent or smaller game developers, with results to be released soon.

Some industry highlights from the report:

  • Game programmers have an average salary of $80,320. The survey found that programmers with more than six years of experience in their field earned, on average, 36 percent more than the average 2009 annual salary.
  • Art & Animation folks made out better than average in 2009. They saw an average increase in salary, up 2 percent to $71,071.
  • Game Designers also saw a slight increase in salary in 2009. Up 3 percent, the average salary for game designers came in at just over $60k with $61,859. This discipline also includes writers, who earn on average $61,786.
  • Production folks earned on average $75, 082. The survey also found that this area of games is also the most female friendly, with 18 percent of game producers being female. While this figure is down from last years, it’s still almost twice the industry average. Production people also tend to be the most experienced in the industry, with almost half (49 percent) having 6+ years of gaming involvement.
  • QA testers tend to have the fewest years of experience under their belt, with nearly half having less than three years. Therefore, these people tend to be the least paid in the industry, with an average salary of $37,905. However, in contrast, if these people stick around for six or more years, the survey found that this salary more than doubles.
  • Sound Designers and composers are generally the most experienced people in the industry, and are thus compensated for it. While they earned on average $82,085, the survey also found that this segment of the industry is also opening up to new talent, with those with less than three years of experience rose to a new high of 38 percent. Balancing this out, those with more than six years of industry experience dropped significantly, currently holding at 33 percent.
  • And now for the big winners: Business and Marketing. On average, these folks took home $96,408. This figure even includes a 6 percent drop from last years’ numbers. The survey also found that these individuals are the most likely to receive additional compensation. And while this number might be quite lofty, there’s still a wide range of salaries even within this microcosm, as marketing and PR employees averaged $83,804, executives, $129,167.

The full report, “Game Developers Salary Survey” includes more detailed U.S. regional and growth data for year-over-year results from 2005, 2006, 2007, 2008, and 2009, plus international information from Canada and Europe. This report, and others, are now available from the Game Developer Research division.

 

As gaming business models evolve so do the legal practices associated with them

Tuesday, June 9th, 2009

As we all saw, E3 looks to have gotten it’s mojo back, and I can confidently say that the industry as a whole looks to be in a state of good health.  Of course, E3 is a trade show, where the industry gathers together to path each other on the back, and drool over all the new goodies in store, but combine this with the recent NPD Report indicating that nearly 2 out of every 3 Americans had played a video game in the past six months, and we’re really on to something here.

gavel1And while the focus has been mainly on games, game developers, publishers, etc., I’d like to take a step back and look at an industry that’s also reaping the rewards of a new found enthusiasm in the gaming: Legal.

A key driving factor to increased legal involvement in the gaming industry stems from the still evolving, but rapidly accelerated business model (read: microtransactions) that game makers rely on.  In the past, the path was simple, developers develop, and then hand the titles over to the publishers to push out into the market.  A great majority of developers’ legal fees when towards contracts with publishers, and that was the end of the road.  With the advent of social media, digital downloads, and increased involvement from developers themselves, comes an increased desire and need for legal council.

Patrick Sweeney, a lawyer specializing in the interactive media and entertainment firm, Nixon Peabody says, “There are more developers looking to step up to the plate with self-funded or partially funded games that they are able to monetize on better terms than the traditional model.”

Likewise, Mark Skaist, a 17 year vet of the video game industry, and partner at Stradling Yocca Carlson & Rauth comments, “Now that developers are doing things themselves, they have me working on rights clearance and other distribution related issues.”

Taking a look at Sony’s recent skyrocket, Free Realms, here we have a prime example of the increased need for experienced legal counsel.  Boasting an impressive 1 million registered users in just 17 days, it’s quite clear that Sony needed to have all their bases firmly covered before wading into the new business model waters.

Sony turned to the firm of Latham & Watkins partner Roxanne Christ to take them through these rigorous waters.  Christ and the firm are the folks responsible for establishing the rules that deal with players’ digital wallets, and end-user agreements, as well as relationships with external development studios.  “The shift to micro-transactions as a revenue model for the game raised legal issues that needed to be addressed,” says Christ.

The market, as well as the increased need for expert legal council hasn’t gone unnoticed by the legal industry.  Last year, the LA based firm Sheppard Mullin established a video game industry practice specifically tailored to address video game companies, developers, and publishers on issues of patent, entertainment, labor, and tax issues.  Amongst Mullin’s list of clients, one can find industry giants Sony Online Entertainment as well as Activision, which the firm represented in a patent infringement claim.

In 2007, the aforementioned Nixon Peabody acquired the firm of Offner & Anderson, a four attorney video game industry specialty shop.  Co-founder David Anderson says that his firms clients outgrew their exclusively corporate capabilities.  “We got to the point where we could better sever our clients at a bigger firm where were could provide them access to litigation and other practices,” Anderson says.

As the state of play continues to evolve, and more and new firms spring up, as well as the old stalwarts begin to take a look at alternative business models, my prediction is that we’ll also see an increase in legal firms that take a special interest in guiding and supporting these groups in charting relatively new waters.

 
 

2008 survey reveals average game developer salary – $79,000

Friday, May 1st, 2009

Chances are if you’re living under a rock or in a cave, you haven’t really noticed or felt the effects of the current global economic recession.  For the rest of us out here trying to make a go at it day after day have felt and seen it, but, if you’re working in the games development industry, things may not be quite as bad as those working in, oh, I don’t know…finance perhaps?  And while the full impact of the recession is difficult to put a finger on, recent survey data released by Game Developer Magazine indicates that not only is the demand strong for game developers, but flourishing as well.

game-developer-research-logoAs noted in our previous coverage of Game Developer studies, the gaming industry as a whole seems to be doing remarkably well in these uncertain economic times.  Early last month, their study showed that game development outsourcing (to firms such as ours) is on the rise, and last Halloween we covered their release of a 13% increase in North American gaming jobs over the course of 2007.  This recent news from Game Developer doesn’t disappoint, as they found in their 8th annual Game Developer Salary Survey that the average American game industry salary in 2008 landed just $1,000 short of $80,000/year.  This figure reflects a 7% increase from 2007’s figure of roughly $74,000.

However, this information must be taken with a grain of salt, as the recession is notably reducing the number of available positions.  Given this quandary, as less jobs become available, more experienced game developers find themselves in a position to ask for higher salaries.  Selected highlights from the industries only major publically released analysis of salaries in the video game industry:

  • Programming: programmers are the highest paid talent next to high-end businesspeople, with an average annual salary of $85,024. Experience pays in this role, as those with greater than six years of experience earned 26% more than the average annual salary.
  • Art & Animation: artists – averaging a $69,532 salary, nonetheless, 28% of art directors reported lower salaries than the previous year. But these more experienced, higher status artists also tend to earn at least 35% more than those with less experience and lower title.
  • Game Design: Averaging $67,379, design positions sprouted an average $3,730 over last year. As with many roles, region makes a difference, given that West Coast designers make on average $8,283 or 12% more than the rest of the game designers in the country.
  • Production: of all the game development disciplines, production – with a salary average overall of $82,905 – is the most welcoming to women, with 21% of the workforce made up of females – more than twice the industry average. The discipline as a whole saw a strong $4,189 bump from last year.
  • Quality Assurance: testers with less than three years experience make up the largest percentage of this segment – 46%. Quality assurance is the lowest paid of the game development disciplines, averaging $39,571 – almost flat to 2007 – and the majority of Q/A people – 87% – are lesser experienced. The number of female Q/A testers jumped from 6% in 2007 to 14% in 2008.
  • Audio: sound designers as a group earned 6% more than they did in 2007, up $4,758 on average over last year to $78,167. 74% of audio developers reported that their salaries increased over 2007. Interestingly, 48% of those in the game audio industry have been working there for 6 years or more – more than the 40% for game design, and equal to the 48% for production.
  • Business & Marketing: the business field as a whole remains the highest compensated group in game development – with an average salary of $102,143 – and also receives the highest amount of additional compensation. However, salaries vary significantly between individual job titles in this section, with experienced VPs and executive managers making the most of any individual section in the entire survey – at $131,085 on average and reporting at least 6 years experience.

The full report is available from Game Developer Research and covers mush more details US regional and growth data, including year over year results from 2004 – 2008.  The full report also spotlights data accrued from Canada and Europe.

 

Korean Government serious about Games -$200m serious

Tuesday, December 9th, 2008

Gaming is no joke in Korea.  Not only is Starcraft played competitively, but cybercafe’s run around the clock.  To this end the Korean government is taking serious steps in making sure that Korean game developers stay on the map.

The Korean government recently announced that they’re pumping 350B Korean Won (approx. $200M) into a fund that’s designed to be used by the video games industry.  This fund should ensure that Korean developers not only stay competitive, but should also fund innovation.

Yu In-chon, Korean minister of Culture, Sports and Tourism made the announcement noting that the current growth rate must be maintained if the country is to reach it’s goal of becoming the world’s 3rd largest video gaming market, only behind the US and Japan.  In-chon noted that in addition to the cash influx, the government has an additional 59 projects to ensure these goals are met.  The proposal seeks to fund the gaming industry through 2012 with the end goal of exporting a massive 5 trillion won ($3.3 billion)

In a rough and tumble economic climate, obviously this is a noted departure from the norm, and a refreshing vote of confidence from a national government.  NCSoft, one of the world’s largest developers of MMO’s is headquartered in Korea, and could be on the beneficial end of this deal.

What strikes me as slightly odd is that it took the Korean government this long to actually notice the video games industry?  When Starcraft tournaments are broadcast on live television, and specific video gamer training camps are established, this is clearly no longer under the radar.

Reblog this post [with Zemanta]
 

fatfoogoo to Offer Micropayment Software for Project Darkstar

Thursday, September 11th, 2008

Monetizing Software Services Now Available to Thousands of Game Developers in Sun Sponsored Community

fatfoogoo, the leading provider of in-game commerce ecosystems, today announced that it will enable integration of its microtransaction software with Project Darkstar, an open source development environment created by Sun Microsystems Laboratories, that caters to the online games, virtual worlds and social networking industries. In a first step, fatfoogoo’s monetizing software services, such as virtual item trading, subscription management and in-game economic control, are now available to thousands of developers in the Project Darkstar Community.

fatfoogoo is the first company to offer commercial billing and transaction software that is explicitly designed to work with Project Darkstar technology. Project Darkstar simplifies the development of online games that take full advantage of today’s multi-core processors to deliver a new generation of scalability. Pairing fatfoogoo with Project Darsktar opens these games and virtual worlds to real money transactions, by enabling developers to leverage fatfoogoo’s secure and easy-to-use micropayments for in-game transactions.

“The work that fatfoogoo is doing to extend the reach of Project Darkstar exemplifies and underscores the value of open source communities,” said Karl Haberl, Director of the Project Darkstar research initiative at Sun Microsystems. “fatfoogoo has openly shared their expertise with others, enriching the Project Darkstar Community with their code contributions, interactions with game developers, and now with commercial software offerings. We are very pleased with the positive results of fatfoogoo’s Community participation, including the new opportunities they have presented to developers of online games, virtual worlds, and social networking applications.”

“We are bringing microtransactions first to the publishers and developers and, as a result, to the gaming community,” said fatfoogoo CEO, Martin Herdina. “Implementing micropayments into a game is a complex process that needs close attention. We make it easy for game developers to integrate our services into their games, so they can focus on their core competence. The real beneficiaries, however, are the gamers who can now easily make small and secure payments within the flow of the game.”

About fatfoogoo

fatfoogoo is the leading in-game commerce ecosystem for monetizing online games and virtual worlds. fatfoogoo’s solutions allow both publisher-to-player and player-to-player financial interaction, as well as traditional user and subscription management. Publishers can choose white label turnkey solutions or individually configured modules. Founded in 2006 by Daniel Petri and Martin Herdina, fatfoogoo is headquartered in Austria and also has offices in the US and the UK. For more information, please visit www.fatfoogoo.com.

About Sun Microsystems, Inc.

A singular vision — “The Network Is The Computer” — guides Sun in the development of technologies that power the world’s most important markets. Sun’s philosophy of sharing innovation and building communities is at the forefront of the next wave of computing: the Participation Age. Sun can be found in more than 100 countries and on the Web at http://sun.com.

About Project Darkstar

Project Darkstar is software infrastructure designed to simplify the development and operation of massively scaleable online games, virtual worlds and social networking applications. Created by Sun Microsystems Laboratories as a research effort, it is today advanced as an open source project through the Project Darkstar Community. Learn more at http://www.projectdarkstar.com.

Contact
Heather Sorensen
Plugged In PR for fatfoogoo
+1-503-841-0625
Email Contact

Cate Powers
Bite Communications for Sun Microsystems, Inc.
415-365-0477 – desk
970-846-3857 – cell
Email Contact

 

Microtransactions coming to an iPhone near you

Thursday, August 21st, 2008

Exit Games’ Neutron cross platform multiplayer gaming service announced yesterday that they’ve upgraded to now include iPhone support.

Neutron will now feature game lobbies and various matchmaking capabilities, real-time, turn based tournament and multiplayer options,  buddy lists, leaderboards, profiles, in-game voice and text chat, and last but not least, our personal favorite: billing and in-game microtransactions.

“The iPhone presents a very unique opportunity for mobile online gaming as it is both specifically designed for online services and comes with the App Store, an already successful and accessible distribution channel”, said Christof Wegmann, CTO of Exit Games. “Neutron’s support of this new and innovative mobile device will ensure that iPhone game developers have a means to take advantage of its wireless connectivity and add social gaming features.” Wegmann further adds, “The iPhone will surely establish itself as a dominant mobile gaming platform and we’re pleased to support multiplayer and social features in games developed for the device.”

Neutron utilizes not one, but 5 SDK’s to provide a wide variety of connectivity and features right out of the gate.  Together with it’s hosting services, it allows developers to use even some of their most sophisticated features on a mobile platform, with a minimum time and cost investment.  Adding support for the wonder of Cupertino was a no brainer (and probably little to no sweat) for Exit Games, as the Neutron already supports J2ME, BREW, Windows Mobile, Flash Lite, and Blackberry, not to mention PC and console platforms.

Reblog this post [with Zemanta]
 

Fraud and how MMO’s are dealing with it

Saturday, August 16th, 2008

As the MMO industry continues to develop and grow, sadly some of the ‘darker’ aspects of economies rear their ugly head.  Credit Card fraud has become an increasingly hot topic of debate, with a number of specialist firms engaged in spotting, reacting to, and deterring future fraud in the MMO world.

Chargebacks from fraudulent credit cards are a growing problem for MMO publishers.  Chargebacks are the process by which credit card sales are refuted by the holder of the credit card.  Gamesutra recently sat down with Gene Hoffman, Chairman and CEO of Vindicia, a billing an fraud management company for a Q&A about the state of fraud in the MMO industry.  Hoffman’s views prove to be very interesting:

…. micro-transactions do seem to work fine in, say, Korea!

Gene Hoffman: Americans love “all you can eat”. Even the mobile phone companies have really evolved to all you can eat. We always challenge people to name the bill they get every month or year that isn’t in actuality all you can eat.

Outside of government granted monopolies, most people know what they are going to pay. That said, using a base plus metering can make a lot of sense. It allows you to then offer more subscription tiers that allow your best customers to pay you a higher base and less variable – again much like the plans and pricing that the mobile industry has evolved.

do you have any response to the MMOG Business Models: Cancel That Subscription! article we recently ran?

Gene Hoffman: Business model flexibility is the key issue for all the various games, and the dynamics of the game itself should drive pricing strategies. When game developers are approaching a more casual market it certainly makes sense to give more access and time to get buy-in and adoption.

It follows something we tell lots of our clients, which is “don’t be afraid of giving away what is free to you to acquire more customers and keep them longer.”

That said, we think that it is better to give people larger doses of time to create a base subscription service using tools like “payment method required free trials” and then stack additional micro-payments on a base of something more like a $5 per time period price. We see a lot of game developers and other merchants being too shy about the value of their game which leads them to under-price.

As virtual economies and the games they serve continue to evolve, so will the criminals trying to fraud the publishers.  Luckily though, through articles and interviews with industry experts like Hoffmann, we all benefit by increasing the visibility of security features on the backend that must be closely monitored and continually improved.  At fatfoogoo we’ve tested, developed, and are continually improving and updating our fraud detection methods, thereby giving the publisher one less thing to worry about.

Reblog this post [with Zemanta]
 

fatfoogoo joins Sun and Project Darkstar as official partner

Tuesday, July 15th, 2008

fatfoogoo has been accepted to the SUN Partner Advantage Program as an official partner and will work very closely with Sun Microsystem’s Game Server Initiative “Project Darkstar” in building tools to monetize online games based on this open source program.

“We see this as a win-win situation.” says fatfoogoo CEO Martin Herdina. “It not only allows fatfoogoo services to be a click of a button away for game developers, but also allows us to contribute to this exciting project.”

By contributing code to Project Darkstar fatfoogoo is providing open source gaming engine builders highly valuable tools that can either be used from the ground up, or simply added to game development at a later date.  The choice is up to the developer.  While fatfoogoo is developing their own in house tools and then submitting the code to interface with the existing Darkstar model, they are also working on code for the game engine itself.  This code will not interfere or alter any existing code but rather assist the engine in maximizing the interface with fatfoogoo’s suite of monetization tools.

About fatfoogoo: fatfoogoo specializes in game monetization via a wide variety of products and services including micro transactions.  They have a wide range of experience and are industry experts on micro transactions and in game commerce and monetization.  The fatfoogoo philosophy is simple: Allow developers do what they do best, develop games, and leave the transactions and monetization to us.

About Project Darkstar: Project Darkstar is a software infrastructure that is designed to simplify the development and operation of massively scalable online games, virtual worlds, and social networking applications. It helps developers avoid problems such as zone overloading, data corruption, and server underutilization that typically come with these kinds of applications. This revolutionary platform offers a dramatically different architecture that features a flexible and efficient scaling model, a robust data model, and a simple programming model. Project Darkstar software is freely available under an open source license from the Project Darkstar community.

Zemanta Pixie
 

EA to feature Downloadable Micro transaction Soundtracks

Thursday, July 10th, 2008

EA’s chief music executive, Steve Schnur gave a definitive timeline on downloadable music content for EA in an interview with Stephen Totilo from mutiplayerblog.com yesteday.

In the interview Totilo spoke to Schnur regarding EA’s popular football game, “Madden”.  The idea behind the microtransaction song sales is that the player shouldn’t be locked into hearing the same soundtrack over and over, but rather be presented with a variety of options all available for download.  Totilo also notes that EA is already doing this in “Rock Band” on a weekly basis, so why not non-rhythm based games as well?

Schnur is quoted as saying, “You’re going to see it in 2009”.  “By ‘Madden 10’ gamers can expect some of the “broader-based” EA games (not just any music titles) to be able to “continually recommend” new music that can be downloaded to enhance a soundtrack”.

EA’s industry clout certainly gives it an advantage in bringing new music to users that may not already own the content and import via custom tracks features.

While fatfoogoo is not specifically tailored to delivering downloadable music content, it is something that we could certainly tailor to a number of individual game developers.  With our unparalleled industry experience and flexible system, customizing a system for music instead of character upgrades for example would be an easy conversion.