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Game Over for Aussie Gaming Industry?

By Rachel Youens on Wednesday, November 4th, 2009

picture-11It looks like some of Australia’s gaming businesses may have just played their last life as game development business around the nation shut their doors or downsize leaving heaps of unemployed game developers in their wake. On the 21st it was reported that Melbourne based Transmission Games, creator of Ashes Cricket 2009 and Heroes Over Europe, was forced into liquidation leaving 70 staff members out of work. Earlier this year Pandemic Studios also took a dive after EA games decided to close the office shedding much of the gaming studios staff including prominent developers Tony Albrecht and John Passfield.

But is it really fair to say that the Australia gaming industry is in crisis when companies like FireMint are turning profit with app games and signing contracts with car manufacturers? It’s too early to wave the white flag yet, but there are some key differences that have allowed some business to thrive as others shut their doors. In an article over at Computer World they site the increasing parity between the US and Australian dollar as one reason why the country has become a less attractive place for US companies to source their game development. Those companies who have relied strictly on developing commissioned games for big budget films or large companies like EA have found that revenue stream drying up. It has been those companies with their own original products and IP, such as FireMint with Flight Control and Tantalus with Pony Friends, that are weathering the storm.

We’re working on getting some interviews and information with people in the industry and will try and update as that comes along.

2 Comments

  1. [...] This post was mentioned on Twitter by Antony McGregor Dey and IPitch Australia, Daniel Broder. Daniel Broder said: RT @antonymd: Game Over for Aussie Gaming Industry? http://bit.ly/1IpxzP (via @ipitch) [...]

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    This post was mentioned on Twitter by IPitchAU: Is it game over for Aussie gaming industry? News of another big studio closing, find out who is surviving and why: http://bit.ly/Ndbz2...

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