MA. Considering Incentives for the Video Game Industry

January 18, 2011 -

Correction: I erroneously wrote earlier that "Massachusetts has a thriving video games industry - mostly in the Western part of the state in and around Boston." This is quite incorrect and doubly embarrassing because I actually live in Massachusetts (I do know where Boston is, for the record). A revised story below:

Massachusetts may join Texas, Georgia and countless other states that offer some sort of tax incentives to the interactive entertainment industry. According to a report in the Boston Herald, supports of the effort want to expand the "the state’s $2 billion video game industry to $20 billion" within the next five years. To do that, the state will have to be willing to invest in incentives, but opponents say the state is already in the red.

One of the initiative’s supporters, State Rep. Vincent Pedone (D-Worcester) said it is too early to say what the effort would cost, but wants to expand the industry:

"Twenty-five or 30 years ago, no one in the Commonwealth knew what biotechnology was, and it has now become a critical part of our Massachusetts economy," said Pedone. "We think the video game design industry has equal potential."

Massachusetts has a thriving video games industry - mostly in the Eastern part of the state in and around Boston. Companies such as Turbine and Harmonix are long-time studios that have managed to survive despite the lack of incentives and the not-so-pro-business atmosphere in the state. Approximately 1,295 people are directly employed by video game developers or publishers, according to the Entertainment Software Association. That places the state fifth behind California, Texas, Washington and New York.

Turbine says that local colleges and universities offer a decent talent pool that fits the industry’s needs: "Our world is really a combination of everything creative, from visual to storytelling to game play, combined with good, old-fashioned sophisticated software engineering," said Ken Surdan, vice president of operations for Needham-based Turbine, Inc., maker of the online "Lord of the Rings" game.

But Harmonix sees its business constrained by high costs in Massachusetts that tend to inhibit startups and firms looking to expand.

Florian Hunziker, chief operating officer for Cambridge-based Harmonix Music Systems, said his company is often forced to outsource work to out-of-state studios: "It’s difficult for some of the Massachusetts development companies to be cost competitive with studios that are either in a state where there is a tax break or studios that are in place where there is a lower cost of living," he said.

Meanwhile opponents of new tax incentives for the game industry point to past failures with tax incentives, as well as a budget that is already stretched beyond belief.

Rep. Bradley Jones, the House Republican leader, said he’s not against cutting taxes for companies, but doesn’t believe the state should pick "winners and losers" in the private sector: "Do we go pick an industry, or do we focus our energies on more broad-based initiatives that would help all companies?" he asked.

He also pointed to last week’s announcement that Evergreen Solar planned to close its solar panel factory in Devens and lay off 800 workers. He notes that the company received $58 million in state aid in 2007.

Still, the news that someone on Beacon Hill is thinking about the industry probably gives companies like Turbine and Harmonix hope that someday the environment for business might improve. After all, it's obvious that these companies -- and others like Irrational Games - love the state; if they didn't they'd probably be headquartered in Texas by now..

Source: Boston Herald


 
Forgot your password?
Username :
Password :

Shout box

You're not permitted to post shouts.
MaskedPixelanteOK, so my brief research looking at GameFAQs forums (protip, don't do that if you wish to keep your sanity intact.), the 3DS doesn't have the power to run anything more powerful than the NES/GBC/GG AND run the 3DS system in the background.07/28/2014 - 11:01am
ZenMatthew, the 3DS already has GBA games in the form of the ambassador tittles. And I an just as curious about them not releasing them on there like they did the NES ones. I do like them on the Wii U as well, but seems weird. And where are the N64 games?07/28/2014 - 10:40am
james_fudgeNo. They already cut the price. Unless they release a new version that has a higher price point.07/28/2014 - 10:19am
E. Zachary KnightMatthew, It most likely is. The question is whether Nintendo wants to do it.07/28/2014 - 10:12am
Matthew WilsonI am sure the 3ds im more then powerful enough to emulate a GBA game.07/28/2014 - 9:54am
Sleaker@IanC - while the processor is effectively the same or very similar, the issue is how they setup the peripheral hardware. It would probably require creating some kind of emulation for the 3DS to handle interfacing with the audio and input methods for GBA07/28/2014 - 9:30am
Sleaker@EZK - hmmm, that makes sense. I could have sworn I had played GB/GBC games on it too though (emud of course)07/28/2014 - 9:23am
E. Zachary KnightSleaker, the DS has a built in GBA chipset in the system. That is why it played GBA games. The GBA had a seperate chipset for GB and GBColor games. The DS did not have that GB/GBC chipset and that is why the DS could not play GB and GBC games.07/28/2014 - 7:25am
IanCI dont think Nintendo ever gave reason why GBA games a reason why GBA games aren't on the 3DS eshop. The 3DS uses chips that are backwards compatable with the GBA ob GBA processor, after all.07/28/2014 - 6:46am
Sleakerhmmm that's odd I could play GBA games natively in my original DS.07/28/2014 - 1:39am
Matthew Wilsonbasically "we do not want to put these games on a system more then 10 people own" just joking07/27/2014 - 8:13pm
MaskedPixelanteSomething, something, the 3DS can't properly emulate GBA games and it was a massive struggle to get the ambassador games running properly.07/27/2014 - 8:06pm
Andrew EisenIdeally, you'd be able to play such games on either platform but until that time, I think Nintendo's using the exclusivity in an attempt to further drive Wii U sales.07/27/2014 - 7:21pm
Matthew WilsonI am kind of surprised games like battle network are not out on the 3ds.07/27/2014 - 7:01pm
Andrew EisenWell, Mega Man 1 - 4, X and X2 are already on there and the first Battle Network is due out July 31st.07/27/2014 - 6:16pm
MaskedPixelanteDid Capcom ever give us a timeline for when they planned on putting the Megaman stuff on Wii U?07/27/2014 - 2:23pm
MaskedPixelanteIf by "distance themselves from Google Plus" you mean "forcing Google Plus integration in everything", then yes, they are distancing themselves from Google Plus.07/26/2014 - 12:20pm
MechaTama31I wish they would distance G+ from the Play Store, so I could leave reviews and comments again.07/26/2014 - 11:03am
Matthew Wilson@pm I doubt it. Google seems to be distancing themselves from G+07/25/2014 - 9:31pm
Papa MidnightGoogle+ Integration is coming to Twitch!07/25/2014 - 8:41pm
 

Be Heard - Contact Your Politician