Video game developer facts for kids
A video game developer is a software developer specializing in video game development – the process and related disciplines of creating video games. A game developer can range from one person who undertakes all tasks to a large business with employee responsibilities split between individual disciplines, such as programmers, designers, artists, etc. Most game development companies have video game publisher financial and usually marketing support. Self-funded developers are known as independent or indie developers and usually make indie games.
A developer may specialize in specific game engines or specific video game consoles, or may develop for several systems (including personal computers and mobile devices). Some focus on porting games from one system to another, or translating games from one language to another. Less commonly, some do software development work in addition to games.
Most video game publishers maintain development studios (such as Electronic Arts's EA Canada, Square Enix's studios, Activision's Radical Entertainment, Nintendo EPD and Sony's Polyphony Digital and Naughty Dog). However, since publishing is still their primary activity they are generally described as "publishers" rather than "developers". Developers may be private as well.
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Types
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First-party developers
In the video game industry, a first-party developer is part of a company that manufactures a video game console and develops mainly for it. First-party developers may use the name of the company itself (such as Nintendo), have a specific division name (such as Sony's Polyphony Digital) or have been an independent studio before being acquired by the console manufacturer (such as Rare or Naughty Dog). Whether by purchasing an independent studio or by founding a new team, the acquisition of a first-party developer involves a huge financial investment on the part of the console manufacturer, which is wasted if the developer fails to produce a hit game on time. However, using first-party developers saves the cost of having to make royalty payments on a game's profits. Current examples of first-party studios include Nintendo EPD for Nintendo, PlayStation Studios for Sony, and Xbox Game Studios for Microsoft Gaming.
Second-party developers
Second-party developer is a colloquial term often used by gaming enthusiasts and media to describe game studios that take development contracts from platform holders and develop games exclusive to that platform, i.e. a non-owned developer making games for a first-party company. As a balance to not being able to release their game for other platforms, second-party developers are usually offered higher royalty rates than third-party developers. These studios may have exclusive publishing agreements (or other business relationships) with the platform holder, but maintain independence so that upon completion or termination of their contracts, they are able to continue developing games for other publishers if they choose to. For example, while HAL Laboratory initially began developing games on personal computers like the MSX, they became one of the earliest second-party developers for Nintendo, developing exclusively for Nintendo's consoles starting with the Famicom, though they would self-publish their mobile games.
Third-party developers
A third-party developer may also publish games, or work for a video game publisher to develop a title. Both publisher and developer have considerable input in the game's design and content. However, the publisher's wishes generally override those of the developer. Work for hire studios solely execute the publishers vision.
The business arrangement between the developer and publisher is governed by a contract, which specifies a list of milestones intended to be delivered over a period of time. By updating its milestones, the publisher verifies that work is progressing quickly enough to meet its deadline and can direct the developer if the game is not meeting expectations. When each milestone is completed (and accepted), the publisher pays the developer an advance on royalties. Successful developers may maintain several teams working on different games for different publishers. Generally, however, third-party developers tend to be small, close-knit teams. Third-party game development is a volatile sector, since small developers may depend on income from a single publisher; one canceled game may devastate a small developer. Because of this, many small development companies are short-lived.
A common exit strategy for a successful video game developer is to sell the company to a publisher, becoming an in-house developer. In-house development teams tend to have more freedom in game design and content than third-party developers. One reason is that since the developers are the publisher's employees, their interests align with those of the publisher; the publisher may spend less effort ensuring that the developer's decisions do not enrich the developer at the publisher's expense.
Activision in 1979 became the first third-party video game developer. When four Atari, Inc. programmers left the company following its sale to Warner Communications, partially over the lack of respect that the new management gave to programmers, they used their knowledge of how Atari VCS game cartridges were programmed to create their own games for the system, founding Activision in 1979 to sell these. Atari took legal action to try to block the sale of these games, but the companies ultimately settled, with Activision agreeing to pay a portion of their sales as a license fee to Atari for developing for the console. This established the use of licensing fees as a model for third-party development that persists into the present. The licensing fee approach was further enforced by Nintendo when it decided to allow other third-party developers to make games for the Famicom console, setting a 30% licensing fee that covered game cartridge manufacturing costs and development fees. The 30% licensing fee for third-party developers has also persisted to the present, being a de facto rate used for most digital storefronts for third-party developers to offer their games on the platform.
In recent years, larger publishers have acquired several third-party developers. While these development teams are now technically "in-house", they often continue to operate in an autonomous manner (with their own culture and work practices). For example, Activision acquired Raven (1997); Neversoft (1999), which merged with Infinity Ward in 2014; Z-Axis (2001); Treyarch (2001); Luxoflux (2002); Shaba (2002); Infinity Ward (2003) and Vicarious Visions (2005). All these developers continue operating much as they did before acquisition, the primary differences being exclusivity and financial details. Publishers tend to be more forgiving of their own development teams going over budget (or missing deadlines) than third-party developers.
A developer may not be the primary entity creating a piece of software, usually providing an external software tool which helps organize (or use) information for the primary software product. Such tools may be a database, Voice over IP, or add-in interface software; this is also known as middleware. Examples of this include SpeedTree and Havoc.
Indie game developers
Independents are software developers which are not owned by (or dependent on) a single publisher. Some of these developers self-publish their games, relying on the Internet and word of mouth for publicity. Without the large marketing budgets of mainstream publishers, their products may receive less recognition than those of larger publishers such as Sony, Microsoft or Nintendo. With the advent of digital distribution of inexpensive games on game consoles, it is now possible for indie game developers to forge agreements with console manufacturers for broad distribution of their games. Digital distribution services for PC games, such as Steam, have also contributed to facilitating the distribution of indie games.
Other indie game developers create game software for a number of video-game publishers on several gaming platforms. In recent years this model has been in decline; larger publishers, such as Electronic Arts and Activision, increasingly turn to internal studios (usually former independent developers acquired for their development needs).
Quality of life
Video game development is usually conducted in a casual business environment, with t-shirts and sandals as common work attire. While some workers find this type of environment rewarding and pleasant professionally there has been criticism of this "uniform" potentially adding to a hostile work environment for women. The industry also requires long working hours from its employees (sometimes to an extent seen as unsustainable). Employee burnout is not uncommon.
An entry-level programmer can make, on average, over $66,000 annually only if they are successful in obtaining a position in a medium to large video game company. An experienced game-development employee, depending on their expertise and experience, averaged roughly $73,000 in 2007. Indie game developers may only earn between $10,000 and $50,000 a year depending on how financially successful their titles are.
In addition to being part of the software industry, game development is also within the entertainment industry; most sectors of the entertainment industry (such as films and television) require long working hours and dedication from their employees, such as willingness to relocate and/or required to develop games that do not appeal to their personal taste. The creative rewards of work in the entertainment business attracts labor to the industry, creating a competitive labor market that demands a high level of commitment and performance from employees. Industry communities, such as the International Game Developers Association (IGDA), are conducting increasing discussions about the problem; they are concerned that working conditions in the industry cause a significant deterioration in employees' quality of life.
See also
In Spanish: Desarrollador de videojuegos para niños
