Epic's Gamble discusses studio closures

Disney buying Black Rock "made no sense".

Epic Games' European boss Mike Gamble has blamed the recent spate of high-profile triple-A game developer closures on "stupid acquisitions" made by publishers.

Gamble highlighted Disney Interactive's purchase of Pure and Split/Second developer Black Rock, which recently closed down, as an example.

"It's happened because of stupid acquisitions," he told Eurogamer at Epic Games' recent Unreal Engine University day in London.

"This is a personal view. In my person opinion, yeah, there have been acquisitions by publishers of developers they really had no right – well, they had a right because they had the money - but what was the point of a well-known children's IP holder buying a hardcore racing studio? It doesn't make sense."

Analysts suggested last week the closure of Black Rock had more to do with owner Disney's desire to get out of console game development than any deficiencies at the Brighton-based studio.

Disney's decision followed Activision's shuttering of Blur and Project Gotham Racing developer Bizarre Creations after it failed to find a buyer.

"A lot of the pain we've had in the last 18 months has been down to the economics of games development, which has changed," Gamble continued.

"Big publishers have had to pull back in money wise and the casualties of that are the studios that haven't performed for them because the industry has changed."

A number of small developers have formed from the ashes of both Bizarre and Black Rock.

Bizarre has spawned a handful of studios, including Hogrocket and Lucid Games.

Black Rock's death has led to the creation of three studios so far: Roundcube Entertainment, lead by Split/Second director Nick Baynes; ShortRound Games, formed by a quartet of previous Black Rock department directors; and BossAlien, fronted by Pure director Jason Avent.

"It is sad," Gamble, who this week met with a number of start-ups to discuss the merits of Unreal Engine for game development, commented.

"It's sad in a sense, but it's fantastic in a whole other way. Of course, a percentage of those people have left the industry. But most of them haven't. They're still in the industry. They're now just doing other cool stuff.

"The games I'm seeing from indies and small developers are brilliant. I love it. Really interesting and creative. They're not ticking boxes for publishers that say, we've got this gap in the portfolio, and there's this demographic, so we need to create this.

"They're playing with concepts, with how things are controlled. It's very creative."

Overall, Gamble believes UK and European game development is in a healthy state.

But, "It's healthy in a very different way than it has been. We've had Bizarre go pop. We've had Black Rock go pop. There's been a lot of bad news.

"But the fallout from that has been that there's now a whole bunch of really interesting studios doing cool stuff. And they all have a really good shot at being successful. A lot of them are really focused on not becoming big studios.

"They're focused on, we want to stay 12 guys doing cool stuff, we know there's a route to market, we can self publish, and we know we can make enough money to continue to do the good stuff we want to do.

"There's a sea change in the European industry. People are not looking to create companies where they're going to buy Ferraris. They're looking to create companies where they're having a great time and making nice money, but really doing the cool stuff."

Comments (15) Latest comment 10 months ago

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  • Kikekun #1 10 months ago

    That´s exactly why me and my friends, after 11 years working in the industry for big companies, decided to create our own team and make the games we want to make. We are aware we probably will never be able to buy Ferraris, but we are just happy getting enough money to pay the rent and continue having a good time building our games.
    Never been happier!
  • geeza2020 #2 10 months ago

    hooray a positive story :)
  • benfresh76 #3 10 months ago

    @Kikekun...Good on you man, that's what I'm trying to do at the moment! It's the way forward; I wish you every success ;)
  • Daeltaja #4 10 months ago

    Theoretical question time:

    If you had 20k in the bank, would you (A) Go back to college after 6 years of absense to get Masters degree in Game Production, where there would be big benefits like working in a team, making industry contacts and of course being educated further.

    or

    (B) Use said 20k to help fund a startup (Eventual goal anyway) and use the time spent on this instead, but with a complete lack of contacts and experience, yet possessing solid art/programming/management skills.

    Any thoughts? :)

    On topic, Mike is dead on the money in regards to thoughtless acquisitions. We'll start to see indie dev's being more business savy and wanting to stay indie, ignoring the advances of big publishers waving a blank check book.

    Edited by Daeltaja at 15/07/11 @ 16:58
  • Empedocles #5 10 months ago

    @Daeltaja

    Save the money, download UDK, start a small virtual team, experiment and attend every industry event you possibly can to build your network.

    More than anything iterate and iterate fast on your ideas, don't be afraid for ideas to fail but make sure they fail quickly so you can learn and move on to the next idea.
  • SpaceMonkey77 #6 10 months ago

    Such a shame, but I can agree that Disney didn't know what they really wanted to do with Black Rock, and it all seemed a bit rushed.

    The silly thing about it is that with some sense, Disney Marvel could have had some cool games made for them, especially Marvel based ones. A new Punisher, Blade or Dead Pool game would have been an awesome way to expand on their IP, especially in the wake of Rock Steady's awesome Batman. What a missed oppurtunity.

    Such a shame that Black Rock got scattered, but already many of their former staff are already positively rising from the ashes. Next time Disney Marvel, only bother investing in this industry if you are serious about it. I bet I could have got Blackrock to push out something cool, worthy of gamers money and attention.

    I wanted to get into the games industry many years ago, but stopped trying after the wall for entry got too high (I'm more of an arty and ideas person). The indie route offers an nice alternative, and there's a lot to be said for job satisfaction. With your own cool ideas, team spirit and drive, its still possible to make it big.
    Edited by SpaceMonkey77 at 15/07/11 @ 17:05
  • O11Y #7 10 months ago

    @ #5

    If you're confident of your skills then I would use your nest egg as a bargaining tool to get your foot in the door somewhere - as "work experience" for example - which could lead to a job.

    Work for a bit, get some experience, refill your savings, THEN branch out into your own projects
  • DreadedWalrus #8 10 months ago

    Epic: good can come from studio closures is a bit of a naughty headline, considering Gamble specifically states that it's his own personal view, rather than speaking on behalf of Epic: "This is a personal view. In my [personal] opinion".
  • Daeltaja #9 10 months ago

    Thanks Empedocles and O11Y for the advice.

    I'm not confident enough in my ability to run a studio just yet, and whilst I have a good solid knowledge in a variety of disciplines, I wouldn't be satisfied overall with my abilities. The idea has been to continue spending my time working on another mod, developing in UDK/Unity etc, until the course would start in 13 months from now. I would say that currently I don't possess the expertise in any specific area to be able to apply for, or be desirable for an industry position, save for Q&A or a Junior Level Designer (positions few and far between when you're living in Dublin!)

    I'm just trying to decide what the best use of my time would be and to avoid spending a tonne of money which would ultimately be useless if I could achieve the same end result with a different route.
    Edited by Daeltaja at 15/07/11 @ 17:47
  • GamesConnoisseur #10 10 months ago

    Small studios can produce great games, but most likely downloadable PSN/XBLA kind or mobile rather than competing against big budgeted publisher supported games with huge marketing behind it.

    Should UK and Europe developers then eventually specialise more and more in small studios developed games, then may lose out the capacities to compete against the like of EA, Activision, Capcom or Sega?

    We can't all be EA, Acti, Sega or Capcom.
  • Ahskay #11 10 months ago

    There's an important meaning in Kikekun's Tale.
    Their love of games will reflect that and someday the money for that ferrari might come. I wish you the best of luck!
  • Galvatrime #12 10 months ago

    Its going to get to the point where INDIE games are going to be the main games and the games like BF halo, gears god of war etc are going to be the cack that cost too much to make
  • O11Y #13 10 months ago

    @Daeltaja

    I've got a few mates in the industry and their advice has always been that going into an interview, examples of your work are worth considerably more than a qualification from a video games course. If you're interested in design then pick up a level editor (it was "Hammer" in my day for Half-Life but I'm sure things have moved on since then) and start putting some stuff together. If you want to get into programming then join a mod project or make a mod of your own. If you want to get into art / sound make a portfolio. etc. etc.

    A friend of mine is a designer at a large studio and he came into the job with no formal experience, but had spent a lot of his spare time building / scripting maps and built up a body of work to demonstrate his abilities. He also had a huge amount of enthusiasm for games and development in general which is obviously a major requirement too for most studios.

    All I can say is, good luck!
  • Nephirion #14 10 months ago

    @Kikekun Developers should never own Ferraris, that should be reserved for people with " proper " jobs.
  • orbitsteve #15 10 months ago

    I like this article, with the current closures and acquisitions, I bet most studios (developers point of view and the not the management) dread the day they go bigger.