The Atlanta Journal-Constitution

Published on: 08/13/08

One video game pits deadly super agents against each other in a dystopian virtual world. Another has players roam a fantasy world filled with vampires and werewolves.

The games — both in development at local studios — might not be fun for the whole family, but they’re just the type of thing the Georgia Department of Economic Development is looking for.

For years, video games were the whipping boy of politicians, blamed for everything from antisocial behavior to teaching kids “the skill and the will to kill.”

But with game sales at $9.5 billion last year, some politicians are seeing dollar signs where they might have once seen a campaign issue.

Georgia is one of several states trying to lure game developers to set up shop with income tax credits, sales tax exemptions and other incentives.

Since 2005, video game companies have applied for an estimated $12 million in tax credits, according to Georgia officials.

Now, armed with a more ambitious program enacted in May, Georgia is making a big push to market metro Atlanta as a hub for the video game industry.

Asante Bradford, the state’s digital entertainment liaison, said he wants to double the industry’s economic impact to $360 million in two years.

For gaming companies, Georgia’s attitude is a nice change of pace.

“With so many politicians beating up on video games, it’s nice to be in a state that is basically in the industry of fun,” said Todd Harris, chief operating officer at Alpharetta-based Hi-Rez Studios.

But Georgia is practically starting at Square One in a highly competitive market. Although two international companies — CCP of Iceland and CDC of China — have opened local offices, Hi-Rez is the state’s only homegrown developer deep into production of a big-budget game. And just one developer, Tripwire Interactive in Roswell, has ever had a game on store shelves.

Statistics from the Entertainment Software Association place Georgia light years behind gaming meccas like California, Washington and Texas.

Mike Tinney, president of CCP’s Stone Mountain office, said the lack of a critical mass can make moving to Atlanta a tough sell for developers.

“It’s more of a frontier market,” he said. “When you ask people to move to Atlanta, it’s a little bit of a leap of faith for them.”

And Georgia isn’t the only state actively courting game companies.

Texas souped up its incentives for 2008, offering a rebate for 5 percent of spending during the course of development, for a maximum payout of $250,000.

Gov. Rick Perry even traveled to Los Angeles for the annual E3 gaming conference in July to deliver a keynote address.

“The gaming industry portrays a work ethic, business model and embrace of new ideas that our nation would be wise to consider,” he said. “I congratulate this growing industry on its success and invite further expansion in Texas where the barbecue is hot and the video gaming is even hotter.”

Texas has the strong gaming pedigree that Georgia lacks. The original first-person action games, such as Doom in 1993, were developed by id Software in Dallas. And industry innovators created the first successful online role-playing game, Ultima Online, in 1997 in Austin. More than 90 companies are currently based there.

Simon Carless, publisher of Game Developer magazine, said Georgia needs large gaming companies to open branches in the state. Then individuals can splinter off to form independent studios.

“That’s really how you get a local ecosystem going,” he said.

Georgia officials say they are well-positioned to make a big pitch for gaming, claiming their incentive package is the best in the nation.

The 2008 Entertainment Industry Investment Act signed by Gov. Sonny Perdue in May eschews the state’s previous tiered system in favor of a flat income tax credit for 20 percent of in-state spending. If the final product includes a Georgia peach logo, the state will add another 10 percent tax credit.

The incentives are available to all types of productions — including video games, movies, commercials, music videos and TV shows — as long as the company spends at least $500,000 a year on expenses such as salaries and materials.

David Hartnett, vice president of technology industry expansion at the Metro Atlanta Chamber of Commerce, said Georgia has a limited window to make the most of its current program before another state ups the ante.

“We have a unique, seize-the-moment opportunity,” he said. “You’re not No. 1 forever.”

Harris said the incentives have stopped Hi-Rez from outsourcing certain development duties like audio and animation.

Some of Georgia’s appeal is the same as for other businesses. Tripwire Vice President Alan Wilson said the company decided to make Roswell its home in 2005 to take advantage of lower costs, an international airport and a nice climate.

But the company wasn’t able to qualify for tax incentives for the first few years because it didn’t spend the requisite $500,000 a year.

“To get things like video game startups, it’s going to need to start lower,” Wilson said.

Bradford said he is talking with three or four gaming companies about opening offices to Georgia but is not ready to make any announcements. He hopes to add about five new studios.

Bill Thompson, deputy commissioner of Georgia’s Film, Music and Digital Entertainment office, said that although the state’s gaming industry is in its “grade school years,” there is still a lot of potential.

The industry’s annual growth rate from 2003 to 2006 was 17 percent nationwide, about four times that of the U.S. economy as a whole, according to the Entertainment Software Association.

“If we’re in an economy where a lot of traditional industries have slowed down, certainly we have to nurture the ones that are doing well,” Thompson said.

GEORGIA GAMING COMPANIES

Tripwire Interactive

Roswell

Founded in 2005

The only Georgia company to put a game on store shelves, it is currently working on a follow-up to the 2006 action game Red Orchestra.

Hi-Rez Studios

Alpharetta

Founded in 2005

The company is testing its first project, a multiplayer action game called Global Agenda.

CCP

Stone Mountain

Opened in 2007

The Icelandic company merged with Georgia’s White Wolf, creator of pen-and-paper role-playing games, in 2006, then made Stone Mountain its North American headquarters in 2007.

Bookmark to:

A clone with no name or past awakens to a cruel existence, hunted mercilessly for crimes he may never know; yet he stands close to the pinnacle of power in New Eden. A disgraced ambassador is confronted by a mysterious woman who knows everything about him, and of the sinister plot against his government; his actions will one day unleash the vengeful wrath of an entire civilization. And among the downtrodden masses of a corporation-owned world, a man named Tibus Heth is about to launch a revolution that will change the course of history The confluence of these dark events will lead humanity towards a tragic destiny. The transcendence of man to the dream of immortality has bred a quest for power like none before it; empires spanning across thousands of stars will clash in the depths of space and on the worlds within. Those who stand before the tides of war, willingly or not, must face the fundamental choices that have been with man for tens of thousands of years, unchanged since the memory of Earth was lost. This is EVE, The Empyrean Age. A test of our convictions and the will to survive.

The first official novel set in the EVE Online universe, Tony Gonzales’ sweeping epic sets the stage for the Empyrean Age expansion of CCP’s popular MMO.

Bookmark to:

Description:
This individual will be the primary contact for a number of international publishers, as well as for our Korean partner Grigon. They will ensure that localized versions of Cartoon Network’s MMOG will have excellent translation quality and will be culturally appropriate for our International markets. They will manage all components of the project to ensure a quality product that delivers on time and within budget.

The Localization Producer will manage the localization process from start to finish and report project status on a regular basis. This person will be responsible for:

– Tracking project materials (technical materials, design, art, music, etc.)
– Travel to an external developer’s office to perform on-site localization work as necessary (e.g. studio voice-over supervision, debugging, etc.)
– Creating and maintaining master schedule and negotiating and administering contracts for external services on assigned projects.
– Coordinating with marketing department on package design, product manuals, strategy guides, game demos, event preparations, and marketing materials.
– Working with QA to ensure that localized products meet internal requirements.
– Managing relationships with Grigon, Cartoon Network and International partners

Qualifications (Background, experience, and other requirements):
– A strong candidate will have work experience that demonstrates exceptional skills in project management, communication and problem solving.
– Must be a flexible leader who is able to juggle multiple assignments and work with a diverse team of developers, designers and vendors.
– 3+ years experience in gaming industry with direct experience in International localization of MMO’s from start to finish.
– Ability to execute localization projects using systematic localization techniques.
– Proficiency in Excel or MS Project.
– Experience in dealing with third party licensing groups and their respective product submission processes highly desirable.
– PR and/or Marketing experience is a plus.

Bookmark to:

GameTap announced today the signing of a partnership with THQ. This deal will give the broadband entertainment network company access to THQ’s PC titles for digital download, with certain titles available for free play on GameTap’s ad-supported website. The titles included in this agreement include Company of Heroes, Supreme Commander, Titan Quest, Saints Row 2, PuzzleQuest and S.T.A.L.K.E.R.: Shadow of Chernobyl.

“We are excited to be adding THQ’s roster of top content to GameTap,” said Ricardo Sanchez, vice president of content and creative director for GameTap. “With this new deal, subscribers and website visitors will enjoy great games from THQ, including Company of Heroes and Red Faction.”

“Our new partnership with GameTap allows both a brand new audience and fans alike to enjoy our titles and franchise games online,” said Adrienne Lauer, National Sales Director, Market Development for THQ, “Digital distribution is a great way to extend the reach of our properties and GameTap is an ideal outlet for this effort.”

GameTap’s future earlier this year did not look bright when the editorial staff of Gametap Read was dissolved, though Sanchez commented afterwards to GameDaily BIZ, “The rumors of our death have been greatly exaggerated.”

Bookmark to:

EVE Online has been getting increased mainstream media coverage. Recently the New York Times covered EVE’s Council of Stellar Management (CSM) summit in Reykjavik, as well as the self-styled ‘bad guy’ alliance Band of Brother’s initiative to annihilate their rivals in New Eden, wiping them from New Eden’s star maps.

A new MMO article at Forbes takes a close look at the corporate paradigm of EVE Online, both in-game and out. The piece touches on the views of Goonswarm alliance leader and CSM delegate Sean Conover (aka Darius Johnson, CEO of Goonfleet) and the real-world CEO of CCP Games, Hilmar Veigar Petursson. The Icelandic CEO states: “There isn’t a lot of difference between what you can apply within the game and out of it… It’s more about social skills than gaming skills. It’s very hard to stay on top.”

Do you agree with Petursson, that success in large scale activities in MMOs involves far more than knowledge of game mechanics? Have a look at the Forbes piece for an angle on leadership in MMOs, and how games can ‘fuel the entrepreneurial fire.’

Bookmark to:

During Road Trip 2008 CNET News.com reporter Daniel Terdiman stopped at Fort Benning in Columbus, Ga., where the U.S. Army does its infantry (and soon tank-armored) training. While much of a recruit’s introduction to the Army is the same as it has always been–firing ranges, long marches, obstacle courses, and the like–the Army is increasingly utilizing new technologies to help soldiers learn their jobs.

The idea is to teach them some skills–better handling weapons and conditions, for instance–in simulated environments, before they enter the field. And that’s bringing the military big savings on ammunition, since, in many cases, soldiers are developing skills using electronic systems that previously required firing live rounds.

Here, a team of soldiers goes through scenario training using a simulator called VICE, or Virtual Interactive Combat Environment, by Dynamic Animation Systems. VICE is designed to immerse soldiers in realistic scenarios in which each of them gets their own station, complete with a large video screen, and they can be led through any number of different situations.

Soldiers control what they do using Xbox-like controllers built into their weapons, and everything that happens is recorded in real time on a computer system that their sergeant can monitor to make sure they’re doing what they need to. Afterward, everything about an exercise can be reviewed in minute detail, all of which is helping the recruits who use it be better prepared when they finally get outside, onto real training grounds.

Bookmark to:

The Act offers:

20% tax credit for productions including

TV

film

music video’s

Commercials and Video games

Now all of the above are eligible for an additional 10% tax credit if they include an animated Georgia promotional logo within the finished product.

“We expect a significant increase in film and television projects, and Georgia will be the most competitive state in the country for video game productions,” stated Bill Thompson, deputy commissioner of the Film, Music and Digital Entertainment Office, a division of the Georgia Department of Economic Development .

“Georgia is one of the few states whose entertainment incentives support the video game industry,” Thompson said.

Personally I think its refreshing to see states like Georgia, which we don’t typically think of as being as economically diverse as say California, Midwest or new England to be looking ahead at creative industry’s to replace and expand beyond the old manufacturing jobs.

Bookmark to: