The government and video game distributors have prepared proposals for promoting Russian games abroad

The government and video game distributors have prepared proposals for promoting Russian games abroad

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Associations of Russian video game developers and distributors are asking for government assistance in establishing publishers in the BRICS countries to distribute their products, reimburse marketing costs, and assist in obtaining special licenses to operate in China. But market participants themselves clarify that in BRICS the majority of it comes from mobile games, for which the methods of distribution and revenue generation in the Russian Federation are not yet obvious. And some large companies generally talk about the unnecessaryness of state support.

The government and video game distributors have prepared proposals for promoting Russian games in foreign markets, two industry sources told Kommersant and were confirmed by the Ministry of Digital Development. The ministry explained that we are talking, in particular, about holding “events on the territory of friendly states,” “supporting development companies,” as well as “developing multilateral ties in the video game industry.”

On August 17, Vladimir Putin, following a visit to the exhibition “Development of the Creative Economy in Russia,” approved a list of instructions that stipulated the preparation by September 30 of proposals “to promote domestic video games and Russian software used in them to foreign markets, including the BRICS countries.”

Kommersant got acquainted with the proposals sent by industry participants to the Ministry of Digital Development and specialized autonomous non-profit organizations. Thus, the Organization for the Development of the Video Game Industry (headed by the co-founder of PvP.Tools Vasily Ovchinnikov) in a letter to the “Agency for Strategic Initiatives to Promote New Projects” asks to continue work on “obtaining special licenses” for the release of Russian video games in China (for more details, see “Kommersant” from June 15).

We are also talking about creating “joint publishers with the BRICS countries” for the export of Russian and import of foreign games, establishing expert centers that will advise Russian developers on the specifics of regulating markets in the BRICS countries, as well as “facilitating cross-border payments for geographically distributed video game developers.”

The Association of Professionals in the Operating and Game Development Industry (APRIORI, includes VK Play, Innova, etc.), says a Kommersant source close to the Ministry of Digital Development, proposes “to create a separate structure on the BRICS+ platform, which will include representatives of industry associations from countries- members of the association.” This is necessary to “establish technological and economic cooperation.”

The second idea of ​​APRIORI, adds Kommersant’s interlocutor, concerns the organization of international e-sports tournaments: “We are not talking about the “Games of the Future”, but about new projects.”

Director of the ASI Creative Economy Development Center Ekaterina Cherkes-zade clarified that this organization also sent its ideas to the Ministry of Digital Development, but about supporting all creative segments: “We propose to promote the entertainment industry in a comprehensive manner.” One of the proposals is to subsidize the costs of the creative sector for international marketing promotion.

The BRICS countries, as well as the regions they comprise, account for a significant share of the global video game market. Thus, according to NewZoo’s analytical report for 2022, the total volume of the markets in the Middle East, Africa, Asia and Latin America is $111.4 billion, accounting for 76% of the global market (see chart).

The associations’ wishes sound ambitious, but do not answer the main question – how studios will be able to distribute games in markets with a predominance of mobile gaming, where Google Play is installed on 99% of devices, says the head of the Moscow division of Lesta Games, Gauhar Aldiyarova.

The basis of the markets in the BRICS countries is formed by mobile games, confirms the director of 1C Game Studios Albert Zhiltsov: “Two problems arise. The first is that it is unclear how to deal with the virtual monopoly position of foreign mobile application stores. The second is that the method of receiving payments is not obvious.”

At the same time, Mr. Zhiltsov believes that developers and distributors should not count on government support: “Experience shows that the market is capable of developing without protectionism.”

Nikita Korolev

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