The State of Game Investment: Where Has All the Money Gone?

The game industry has experienced a significant shift in investment in recent years, with many wondering where all the money has gone. At the GamesIndustry.biz Investment Panel, a group of experts gathered to discuss the current state of game investment, including opportunities for funding and the future outlook for the industry. According to Lirui Ding, principal at Transcend Fund, the games industry attracted a lot of 'tourism capital' during the COVID-19 pandemic, which has since disappeared due to a lack of understanding of the industry. Ding also noted that investment has been moving out of the US and into Europe, and now to emerging markets such as China, Turkey, and Vietnam. Meg Clarke, game scouting manager at Team17, emphasized that the money hasn't disappeared, but rather has been diversified and redistributed to different territories, types of investors, and smaller projects. Clarke highlighted the importance of developers creating games that mean something to them, rather than chasing trends, and noted that publishers are looking for unique games and those that fall into previously successful genres. The panel also discussed the rise of VR and AI in the industry, with Curran highlighting a specific opportunity for developers in the VR space and Ding noting the potential for AI to create new, innovative gameplay experiences. Overall, the panel emphasized that the future of game investment looks bright, with many opportunities for developers to create successful games and for investors to support innovative projects.