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2018 A GUIDE TO THE GERMAN GAMES INDUSTRY Cover_2018_v2.indd 223 23.02.2018 14:34:33 PREFACE BROCHURE ON GERMANY AS A IMPRINT & CONTACTS BUSINESS AND INVESTMENT LOCATION Dear Readers, Germany is one of the most important markets for computer and video games worldwide. No European country generates higher sales with games and the associated hardware. Germa- ny's benefits as a business location include its geographical position in the heart of Europe and its excellent infrastructure, as well as its Robinson: The Journey, the new VR game from membership in the EU and the uninhibited ex- change it therefore enjoys with over a half-bil- Crytek (creators of graphics engine CryENGINE), lion people on the continent. all major areas of the games industry. Germa- is a dream come true for fans of dinosaurs: a Germany is distinguished by a very lively ny also plays a special role in the e-sports games industry. A wide range of companies segment: some of the world’s largest tourna- whole world teeming with those beasts to explore. here are strong players on the world market. ments, the ESL One tournaments, take place Truly an adventure like no other. Some of these come from the browser and mo- here. And the ESL itself, one of the most im- bile games segment, including, for example, portant organisers of e-sports tournaments InnoGames, Travian Games and Wooga. In the and leagues in the world, is headquartered in area of PC and console games as well, German Germany. studios such as Deck 13 ('The Surge'), Mimi- Last but not least, Germany is the home mi Productions ('Shadow Tactics') and Yager of gamescom, which last year was opened by Entertainment ('Dreadnought') have recently Federal Chancellor Angela Merkel. The biggest achieved international success. Moreover, Ger- annual event for computer and video games many's Ubisoft studio Blue Byte ('Anno 1800') in the world and the most important business is opening a new branch in Berlin this year, platform for games in Europe, it brings to- whose team will be working on one of the gether more than 350,000 people in Cologne, French parent company’s major brands. Crytek where as-yet-unreleased games can be tried INDEX from Frankfurt am Main offers one of the tech- out and business contacts cultivated. nologically most advanced game engines in I can provide but a brief overview of Ger- the world, CryENGINE, which is used in virtu- many's diverse games industry here. This al reality games like 'Robinson: The Journey' publication, however, offers a much more ex- and such elaborate productions as 'Prey' and tensive impression of Germany as a games 'Hunt: Showdown'. In addition, internationally location. I would be pleased if it helps to win successful developers such as Epic Games and you over, or to strengthen your future commit- 4 Germany: A gateway to Europe id Software operate their own studio branches ment as a friend and partner of, and an active 8 German games market and its players in Germany. Many young developers, too, are participant in the German games industry. 12 Gaming studios and companies in Germany currently founding small, creative teams that 18 Strengths, chances and the future of the German games industry are attracting attention with special titles at, Enjoy reading this brochure! 20 Gaming trends in Germany among other venues, the A MAZE. festival for 24 gamescom: celebrate the games independent video games, held annually as Sincerely, 28 Germany’s developer landscape part of the Games Week Berlin. Some 520 com- 32 Job market situation and education opportunities in Germany's games industry panies in Germany are active in the develop- Felix Falk 34 Associations, networks and funding in Germany ment and marketing of games, providing jobs 37 Generation YouTube in Germany for over 11,000 people. Universities in many Managing Director of game 38 Company register of the games industry in Germany large German cities also train new talent for (the German Games Industry Association) 3 • With France, Austria, Switzerland, Poland, Belgium, Gross domestic product and population: the Czech Republic, Denmark, Luxembourg and the Germany compared with the rest of Europe Netherlands, Germany has a total of nine neighbor- ing countries – more than any other European nation. GDP GDP-Share Population (in Bn EUR) (EU-28) (in M) • The supply in Germany is characterized by an effi- Germany 3.134 21% 82 cient communication and energy network. France 2.229 15% 67 3. HIGH PRODUCTIVITY United Kingdom 2.367 18% 65 The international competitiveness of the German economy is characterized by outstanding quality Italy 1.672 11% 61 and a high performance level – despite decreasing Spain 1.114 7% 46 unit wage costs. Hence, Germany boasts an excellent 703 5% 17 price-performance ratio within Europe. Netherlands Poland 424 3% 38 4. GLOBALITY Denmark 277 2% 6 Germany as a business and investment location ben- efits greatly from its traditionally close economic rela- Czech Republic 174 1% 11 tions with Central and Eastern Europe, especially with TEN GOOD REASONS FOR INVESTING IN Note: Currencies converted with the European Central Bank‘s reference exchange rates for 2016 the markets in Poland, the Czech Republic and Hunga- Sources: Eurostat 2017 Federal Statistical Office Germany 2017, US Census Bureau 2017 ry. This long-standing East-West integration ensures GERMAN BUSINESSES a correspondingly good economic expertise and lets Germany play a leading role as a platform for the growing domestic markets in the European region. of excellently trained and highly qualified profes- sionals, setting international standards. The basis for Germany is a business hot spot for foreign investors. Currently, around 70,000 foreign companies 5. OUTSTANDING PROFESSIONALS this is Germany's excellent education system; 82% of are based in Germany, employing approx. three million people. In 2015/2016, the FDI amounted "Made in Germany" is considered a seal of quality the German population have completed some sort of to over 464 billion euros. In their FDI report, the economic development agency of the Federal for exceptionally high product and service quality vocational training or have a university degree, Republic of Germany, Germany Trade & Invest (GTAI), stated a peak value of 1,944 new FDI pro- throughout the world. Germany has a broad range which is well above the OECD average. jects, representing an increase of 2% compared to the previous year. The related prospect of at least 30,000 new jobs is also a record high. 1. STRONG AND STABLE MARKET ECONOMY Thanks to its high density of banking • Germany's economic strength is ranked 4th in the institutions and being an important stock With 500 million consumers, united Europe repre- world. exchange location, Frankfurt/Main ranks on sents the largest market worldwide, with Germany top of Germany's finance industry, making being the largest national economy and thus the • With the European Central Bank located in Frank- Frankfurt one of the most important inter- driving force in the European market. Being the furt a. M., Germany is a powerful financial center. national financial centers in the world. biggest market within the EU, Germany's economy is not only very well developed, but also highly di- 2. CENTRAL LOCATION AND OUTSTANDING versified. INFRASTRUCTURE The central location in the very heart of Europe • Representing 16% of the entire population within makes Germany an attractive location for the gam- the European Union, Germany generates 21% of the ing industry. Conveniently located airports in Berlin, EU's total gross domestic product. Dusseldorf, Frankfurt/Main, Hamburg and Munich allow for short travel times to all European destina- • The large German domestic market as well as the tions on the one hand, and provide a connection to easy access to the growth markets in the member every important city worldwide on the other. In the states of the European Union make Germany a country itself, all important hot spots of the existing profitable and extremely attractive location for in- gaming industry in the cities of Berlin, Frankfurt/ vestors. Main, Hamburg, Munich as well as the Baden-Würt- temberg region and the Rhine-Ruhr area (Dusseldorf, • With 82 million inhabitants (2017), Germany repre- Cologne etc.) are quickly accessible – thanks to the sents the largest state in the EU. well-developed rail network. 4 5 6. INNOVATION AND RESEARCH Germany is regarded as the top research location in Europe, enjoying an excellent reputation worldwide for its innovative and dynamic research and devel- opment landscape. Germany's federal government supports annual research and development projects ABOUT GERMANY TRADE & INVEST with billions of financial funds and hence claims a Germany Trade & Invest (GTAI) is a foreign trade agency of the pioneering role in the high-tech industry. According Federal Republic of Germany. It's a central hub to support Ger- to results of a survey carried out by the American man and foreign companies. Thus, one of the tasks of GTAI is Chamber of Commerce in Germany (AmCham), 75% to inform and accompany foreign investors, from their market of the companies rate the research and development entry all the way to their settlement in Germany. For this, GTAI environment in Germany as "Very good" or "Good". offers a broad spectrum of services, such as market entry, market and industry analyses, funding and financing informati- 7. ATTRACTIVE FUNDING OPPORTUNITIES on as well as comprehensive legal information regarding taxes, The large number of funding programs in Germa- employment law, etc. GTAI also offers corresponding consulting ny are of great interest for foreign investors. The services. Besides, GTAI pursues active investor acquisition programs offered cover each phase of a company settlement. Besides direct grants, there is also free at leading trade fairs and conferences in selected German training of skilled workers or research funds.
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