In these tough times, cash money reserves have dried up. Itās the same the world over, and the games industry is no different. Especially if youāre a start-up.
According to Games Investor Consulting director Nick Gibson āIn the last four or five months there has been a collapse in venture capital and, more broadly, private equity funding for privately-held games companiesā. These arenāt the big, publicly-owned companies like Activision or EA weāre talking about. These are the new guys, the small guys, the ones that rely on big cash investments to get up and running.
Gibson says things are so bad for the little guys that, according to Gibsonās research, āprivate funding for games companiesā is down a whopping 60% from the same time last year.
So if youāve got a great idea for a new game, and you and your buddies want some cash to get things started, you might want to hold off for a year or two. That or start saving.
Funds and Games [Develop]
