By using this site, you agree to our Privacy Policy and our Terms of Use. Close

Forums - Gaming Discussion - Why are there still so many game studios in California?

So I was reading this morning about one of the reasons Pandemic was closed was due to SoCal's cost of living/development and that got me thinking-- why are there still so many game development studios in California?

The only two reasons I can come up with are that they are already there and there are already so many people there.  Other than that though, I can't come up with anything.

Just think about it, salaries in Texas are probably about $20-30k a year less than a California salary.  If you have a studio of about 80 people, that's somewhere along the lines of saving $2million a year.  In a standard 2 year game, that's 25% of the development costs right there.

You just have to wonder in times like these when things are so expensive and troubling that studios hold so tight to their guns and don't move to any of the much cheaper places where states offer tax incentives, costs of living are so much cheaper, real estate is dirt cheap, and there's still a community of developers nearby.

Yeah, it costs a lot of uproot a studio, you lose people and it costs money, but just thinking how much you would be guaranteed to save is amazing.



Around the Network

That's a good point. Sadly I can't think of any logical reason for it.



Just think about it, salaries in Texas are probably about $20-30k a year less than a California salary.


This might be one reason. If you are looking for a job developing games. Then why don't you move to where you get payed more. And if there are a lot of developers moving to California then obviously you are going to get more studios



News flash there are a few game studios in Austin, Texas where I live!



sethnintendo said:
News flash there are a few game studios in Austin, Texas where I live!

Never said there weren't, in fact, there are more than a few.

I'm just wondering why the main gathering of studios is in California.



Around the Network

Im glad... San Diego has alot dont have to move anywhere



speaking of which any idea on how money it takes get a company up?



Does California subsidise entertainment industries?
Taxes?
Greater pool of talent due to the education sector being more based around entertainment?

Why do we all grow our food in Europe/America when costs of living are so much lower in Asia/Africa? Usually, it's down to subsidisation, tariffs, etc. I'd imagine that the entertainment industry is quite important to the Californian economy - and as such, they'd be willing to offer tax breaks / subsidies to firms within that industry to encourage them to stay.



There's a lot of synergy between videogame production and TV/film production. Need voice talent? CG movies? Motion capture? I'm sure there are plenty of firms in California offering those services.



"The worst part about these reviews is they are [subjective]--and their scores often depend on how drunk you got the media at a Street Fighter event."  — Mona Hamilton, Capcom Senior VP of Marketing
*Image indefinitely borrowed from BrainBoxLtd without his consent.

twesterm said:
sethnintendo said:
News flash there are a few game studios in Austin, Texas where I live!

Never said there weren't, in fact, there are more than a few.

I'm just wondering why the main gathering of studios is in California.

All good I knew you probably already knew but I wanted to give shout out to Austin (even though I think a few companies closed up shop here during the economic downturn).  I am pretty sure Origin is still here.  I think having a new city or state take control of having the most video game companies based there would be awesome.  I was thinking about maybe Las Vegas or Phoenix.  Just gotta make sure area doesn't have too many natural disasters so they aren't threatened by natural forces!