November 2001

Jay is back with all new answers for your game questions. If you have a game development related question for Jay, contact GIGnews.

Just who the heck is Jay you say? 

Q: Jay, bottom line, how much does it cost to produce a game?

A: Game development costs can vary on a variety of factors.  The major contributors are usually size of the team, location of the team, time in production, and the target platform. The actual game costs can be between $300,000 and $2 million. More costs always arise when you figure the publisher's costs in the game. Publishers have to pay for the manufacturing, marketing, shelf space, and a variety of other issues.  Some games that have an advance of $100,000 to the developer can actually have a cost to the publisher of near $900,000. The publisher has to re-coup all these costs plus a set profit margin to consider a game successful.

Jay

Q: We're an IT company who wants to do game development, who should we talk to and get into this?

A: A good first step to the game industry is to identify your strengths as a company and see how that can be applied to the game industry. If your company experience is in the IT world, you should concentrate on the technology you can offer the game industry.  Speak to your local publishers and see if you can secure contract work for them instead of working on an original product first. You should also speak to any local developers in your area and learn any mistakes that they have made in the initial stages of their company. With your initial project, focus more on having your name out in the industry than pure profit. More projects and opportunities will arise in the near future if your game is considered a success. Most importantly is to make sure you are working on a game that you and your team would enjoy playing. Passion for games and gaming in a team always shows through on the final product.

Jay

Need more Jay? <<<Back to Q&A With Jay home

Note: If you didn't get a chance to attend GDC2001 or were foolish enough to miss Jay Powell's lecture, we're giving you another chance. Jay has graciously allowed us to publish his GDC white paper: Negotiating Contracts That Protect Your Title and Team

Who is Jay?
Jay Powell is an agent at Octagon Entertainment, a full service agency catering to the needs of game developers, specializing in the creation of domestic and international opportunities for game financing and publishing and finding opportunities in other medias. Jay has arranged and negotiated numerous deals in Europe and North America for Octagon's clients. He has also proven a key evaluator of projects, having secured some of Octagon's most successful games. With gaming experience in excess of fifteen years, Jay's industry insight has been immensely beneficial to Octagon's clients and publishing partners. Jay's experience has allowed Octagon to create and maintain a property evaluation and acceptance methodology that exceeds the standards and expectations of the interactive industry. Now, Jay brings his knowledge and experience to you. 

 

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