Technology and Disruption - Finnish Game Industry leads the way in game industry tech innovation

Game Engines

Mainframe Industries - Concept Art

Quicksave Interactive \\ Treasure Trails

In 2023, service provider risks related to game engines materialized when the Unity game engine suddenly changed its pricing model. Research and development of one's own game engine was a natural response, reducing risks and creating a clear competitive advantage in emerging distribution channels, such as browsers. This approach was especially viable in Finland, where access to skilled talent for engine development was readily available.

However, while owning a game engine makes a game developer studio much more self-sufficient than its competitors, the development and maintenance of one's own game engine is challenging and burdensome. Additionally, training new employees to use an in-house engine is often more time-consuming than teaching them to use an industry-standard engine that is commonly used.

At the same time, particularly when it comes to Unreal Engine, there is still a talent shortage in Finland. Fortunately, the recently opened Expa Unreal training centre is addressing this challenge.

AI

Bugbyte - Space Haven

Bitmagic \\ Bitmagic

AI tools for game development are a novel field, and many Finnish studios see huge opportunities in it. These tools are likely to revolutionize game production (both pay-per-download and games-as-a-service games), distribution, and discoverability. The use of AI tools will reduce production costs and provide a clear competitive advantage for R&D-oriented game ecosystems like Finland. However, the real major AI disruptions in the game industry are still years away (e.g., real-time personalized in-game narratives).  

Finnish Bitmagic is one of the global forerunners in AI-generated games. Their rapid advance has shocked game developers worldwide, demonstrating how high-quality games can be created simply by writing the right prompts and fine-tuning the results. Yet, it is also important to keep in mind that there is a player segment that values human-crafted "art for art's sake" games.

Being a forerunner in a new field is challenging, as established best practices do not yet exist for benchmarking. Instead, developers must create their own solutions through trial and error. The same applies to many other novel technologies, such as game platform development.

Cloud Gaming

Futureplay - Merge Gardens

Kokoon Games \\ Concept Art

The studios that invested in the emerging cloud gaming boom have had to pivot their business strategies, as most open cloud game service providers have closed their doors. However, this also means that existing game subscription services, such as Netflix and Finnish studios developing games for them, have more room to grow. Cloud gaming is likely to benefit significantly from the ongoing web game renaissance.