Although most of the well-established companies are located in capital area of Copenhagen, development of the creative digital industries is also substantial in regional areas.The domestic Danish gaming market often segments as mature and small-scale. The global economic potential from the Danish game production and eco-system is enormous, however.
New digital gaming is everywhere
Globally, the game industry has consistently been the fastest growing branch within the entertainment business since 2000, with estimated worldwide sales reaching +70 billion dollars in 2013.
The growth comes partly from new mobile technologies and units that are creating a new generation of gamers. Global mobile games revenue is forecast to reach USD 15bn in 2018, rising at a CAGR of 9.6%. Online gaming, enabling greater freedom in how much gamers pay through microtransactions, is also widening gaming participation and opening new markets in for instance China and Russia.
In 2013, the Danish games industry had 190 companies, publishing more than 200 games annually. These companies have been very agile and adaptive to the new gaming business models. The industry turnover has grown with +196% from 2009-2014, and it is now a significant part of our culture exports that totals 10% of the Danish GDP. The core game industries (game development and other interactive companies) created a turnover of DKK 1,7 billion in 2014, a growth of 35% from 2013.
New digital welfare
In recent years, the Danish public sector has invested in welfare technology and is now in a strong position to exploit IT and new technology more intensively to modernize and optimize public services, such as schools and health services. Providing good service does not necessarily require a face-to-face meeting and, in many cases, digital solutions can provide citizens with a more modern and effective service.
Many of the new welfare technology solutions can be found in the roots of the gaming eco-system. Several Danish companies with gaming professions are currently working on new products and business models focusing on engaging users and solving problems in a wide variety of health-based and school learning scenarios.
*Travis Winstanley, Games Investment Director, Kuju Entertainment. Participated in Nordic Game Conference 2015.