About the lecturer Entered Thunderbird School of Global Management in2010. Founded Thunderbird Game Club, networking withinternational students on campus. Collectedinformation about the game market and industry in theworld. From July 2011, did an internship for Jordan GamingTaskforce, a game industrial association in theHashemite Kingdom of Jordan, and researched andmade a lecture about the international expansionstrategy for Jordanian game companies. Graduated from Thunderbird in April 2012. Worked at Media Create as an analyst from May 2012.
Agenda The game market in Arab nations, Iran and Turkey The game industry in Arab nations, Iran and Turkey Summary
MENA = Middle East and North Africa(http://www.timelesshonored.blogspot.jp/)
The game market in Arab nations(1) The total market scale of Arab nationswas said to be around 100 billion yen in2011. Console game market was about50 billion yen, PC game market was 10billion yen and mobile game market was40 billion yen. The standard of regulations for contentsis quite different among nations. SaudiArabia has the strictest regulation in theregion Saudi Arabia has the largest game marketin the region. The UAE is the secondlargest game market, which is followedby Gulf countries such as Kuwait. Egypthas a considerable PC game market. Although most contents are distributedin English and don’t localized, there arestrong demands for contents in Arabic.(http://issuu.com/intentmedia/docs/mcv_issue562)(http://www.gameexpo.ae/)
The game market in Arab nations(2) Among game consoles, the market share ofthe PS3 is overwhelming, while the marketscale of Xbox 360 is limited. Favorites ofArabs are similar to those of Europeans so far. The mobile game market and the SNS gamemarket is expanding very rapidly. ARPU ofArab nations is higher than that of any otheremerging regions. As for the PC games, somelocalized games which are popular in Europekeep strong popularity. Sports games and racing games are the mostpopular genre in the Arabic game market.Various e-sports tournaments are held in Arabnations. Japanese players participated inKOFGF in Kuwait. Male twenties are the main market for thedigital game, while a considerable number ofwomen play games. Like Gcon, some gameevents and websites only for women areopened in Arab nations.(https://www.facebook.com/media/set/?set=a.442820012428496.101868.201683223208844&type=3)(http://www.gcon-riyadh.com/)
The game market in Iran Due to the economic sanction by theWestern countries, the market is closed,although the market scale of the PS3, Wiiand Xbox360 is considerable. (Somehowthe DS and the 3DS don’t seem to bedistributed among the public channels.) IT-specialized shopping malls such asAladdin and Paytakht are positioned asthe mainstream of the distribution ofdigital products including digital games. Entertainment Software RatingAssociation(ESRA) estimates and ratesevery console games. They say it is alsoused by other countries such as Malaysia. Iranian prefers fiction and fantasy, thusRPG and educational games will bepromising.(http://esra.org.ir/)
The game market in Turkey According to Newzoo, the market scale in2012 was around 45 billion. The Turkishgame market is usually regarded as the“next European market” rather than theMiddle Eastern game market. The mainstream of the game distributionis specialty stores like Aral Game, andEuropean GMS and electronic retailerssuch as Carrefour and Saturn. The Wii has strong presence due to thedemand for party. As for genre, sportsgames and party games are popular Turkey has had the fourth largestcommunity of Facebook in the world. Thefavorite of genre of PC and mobile gamesis almost the same as that of Europeancountries.(http://www.aralgame.com/)
The game industry in Arab Nations A lot of small-scale game studiosestablished in the region. Advanced education of IT and gamedevelopment brought up talentedworkers with lower cost. Small and medium game studios areestablished in Jordan, Saudi Arabiaand Egypt. Some conferences for the gamedevelopers are held: Dubai WorldGame Expo and Jordan GamingSummit are only a part of examples
Examples of Arabic digital gamesArabian Lords(http://www.quirkat.com/)The Ringleader(http://www.taktekgames.com)Project Hero(http://www.my3dh.com/)
The game industry in Iran Led by the government, TheIranian game industry developsgames according to the diplomaticpolicy and historical viewpoint ofthe government. Those games aremainly PC and mobile games. National Foundation for ComputerGames (NFCG) aided Iranian gamecompanies. NFCG introduced Iranian games atTehran Game Expo, Gamescom andTokyo Game Show.(http://www.tehrangameexpo.com/Default.aspx)(http://www.el.tufs.ac.jp/prmeis/html/pc/News20110506_123307.html)
Examples of Iranian digital gamesMir Mahna(http://www.mirmahna.com/)Black Gold(http://ircg.ir/sn/iranianGames/pt/full/lang/en/id/1115)“Cry of Freedom” developed by Pardazesh-Afzar Pezhvak(http://www.presstv.ir/detail/2013/05/12/303062/iran-to-release-historical-pc-game/)The Mountaineer(http://ircg.ir/sn/iranianGames/pt/full/lang/en/id/1060)
The game industry in Turkey(1) Turkey has comparatively long historyof developing games. Formerly gameengineers and designers who hadworked at Western big gamecompanies started some game studios. Recently the number of IT engineerseducated in domestic universities isincreasing. Turkish government iseager for business/academiccooperation, and some famous gamestudios are developed from incubationprograms of Turkish universities. Some game trade shows like GameXare held.(http://www.gamex.se/)”Dagger(Hancer),” the first packaged digital game developed by Digital Dreams in 1992(http://www.digra.org/wp-content/uploads/digital-library/06276.58368.pdf)
The game industry in Turkey(2) Peak Games is known as one ofthe largest game developer forFacebook Crytek, whose co-founders areTurkish, established a studio inIstanbul this year. Besides, RiotGames, which is famous forLeague of Legends, have a studioin Turkey. Venture companies incubated inTurkish universities such as METUdevelop some popular games andimportant game technologies,which are noticed by Westerngame companies.Mount&Blade II: Bannerlord(http://www.taleworlds.com/)
Summary The Middle Eastern game market is not a monolith; eachregion (Arab nations, Iran and Turkey) has uniquecharacteristics of the game market and industry. The Arabic game market has strong potential, while theTurkish game development is promising, and while theindustrial potential of Iran is high, although it is closedmarket. Incentives and policies for the game industry are differentamong countries, so the best option of internationalexpansion depends on your purpose of internationalstrategy.
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Thank you very much!Media Create Co. Ltd.,http://www.m-create.com/Sho Sato, Analystsato@m-create.com