In a single type or one other, co-development companies have almost at all times been round in the video games industry.
For so long as individuals have been making video games, there have been companies and builders who’ve made a dwelling serving to out different studios with their tasks. For essentially the most half, these companies had a low profile, sitting in the shadows of the builders they have been working for; however with the rising scale of recent AAA tasks, co-development companies are extra seen than ever.
“There’s a rising consciousness and need amongst studios worldwide to leverage distributed improvement and exterior providers,” says Jake DiGennaro, the chief income officer at Virtuos, which, together with Bethesda, co-developed the lately launched The Elder Scrolls 4: Oblivion Remastered.
“Some respected studios which have shipped their very own IP are even embracing a co-op mannequin, engaged on authentic IP improvement whereas providing co-development providers to others. This method has lengthy been a custom in Japan and is now turning into mainstream in North America and Europe.”
Alejandro Garcia-Tunon, the pinnacle of co-dev at Facet, provides: “Co-development undoubtedly stays a key a part of the sport improvement ecosystem – if something, extra so now than ever earlier than. An elevated variety of improvement specialities, in addition to scopes that are properly past what the sport industry has seen in the previous, have elevated prices.
“Having a full-time crew of consultants in every subject you’d have to cowl simply would not make sense, so bringing in an knowledgeable is a smart way for studios and publishers to faucet into that expertise with out blowing up their budgets.”
Serving to hand
The work that co-development companies are being introduced in to help with varies wildly. Typically it is particular person disciplines (artwork and animation are the most well-liked, according to research from the External Development Summit), however for others it’s total segments of a mission.
“What we are discovering is that the stability of the co-development work is altering from coding or feature-focused ‘crew augmentation’ to completely rounded content material groups that may tackle a entire part of video games and even entire video games, like we did with the supply of Lego Horizon Adventures,” explains Ashley Liu, the managing director of Key phrases Studios’ Create arm.
Garcia-Tunon provides: “It runs the gamut from particular person specialities, like AI, fight, physics, networking, and UI, to taking up total chunks of a sport like a full biome or boss. Typically we’ll cowl completely different elements even inside a single mission.

“Once we labored on Silent Hill 2 Remake with Bloober Crew, we labored on two boss fights in very alternative ways. For the struggle with Eddie’s character, we have been artistic consultants, advising how we may elevate the extent from the earlier model and make it extra of a pivotal second in the sport. With Maria, the ultimate boss struggle, Bloober Crew already had a imaginative and prescient in thoughts which we have been in a position to assist execute from a technical perspective.”
Regardless of co-development companies turning into a greater a part of the industry, the sector is not proof against the broader economics of the video games market. For a number of causes, publishers have chosen to be extra conservative in funding tasks, and fewer video games in improvement means much less work for these whose function it’s to assist out.
“Demand grew very strongly over the previous decade as video games grew to become bigger and extra advanced – builders required further help,” explains Liu.
“Within the final 18 months, the quantity of labor reversed as a result of total contraction of the industry, however tasks are beginning to come again because the industry realises there’s been an overcorrection. Gamers anticipating extra participating content material will drive some renewed demand.”
The turbulence in the market, nevertheless, does current one thing of a chance for co-development companies. In an unsure world the place publishers are being extra risk-averse, companions that present a nice deal of flexibility could be helpful.
“There are alternatives for co-development, although they could not appear like what we have seen in the previous,” Liu says. “Particularly, as our shoppers restructure their companies, there are now extra alternatives for companions to fill useful resource gaps.
“There are additionally alternatives with shoppers that maybe would love us to take over their older titles, particularly as their greatest groups transfer on to new tasks.”
“The headwinds that we face collectively as an industry have reached a breaking level the place we will not proceed to make video games the way in which we did 20 years in the past”
Jake DiGennaro, Virtuos
Garcia-Tunon provides: “The final couple of years have been an anomaly, no query, however the uncertainty has been actually difficult. The co-dev area has traditionally been rising 12 months over 12 months as a result of all the industry has been rising – extra video games equals extra individuals needing assist to make video games. Our alternatives have come from our capacity to rapidly adapt to suit consumer calls for.”
Some co-development companies view themselves as considerably indispensable. The truth that video games now require so many individuals, so many hours of labor, and so many disciplines implies that it’s robust to make them with out exterior assist.
“The headwinds that we face collectively as an industry have reached a breaking level the place we will not proceed to make video games the way in which we did 20 years in the past and count on to not run into a wall finally,” DiGennaro believes. “With the rising prices of manufacturing, the economics of making a profitable sport have develop into more and more troublesome.
“We’ve to acknowledge the truth that there’s one thing about the way in which we make video games that wants a paradigm shift. Whereas components like discoverability, supply, and distribution all play necessary roles, the method of how we construct video games is a important a part of the issue,” DiGennaro continues.
“Greater than seeing this as a chance for co-development companies, I feel it is a chance to reshape the collective mentality and methodologies of our industry in direction of elevated sustainability and diminished volatility.”
As at all times, massive video games companies are very anxious about their IP and can typically go to nice lengths to guard it. Earlier than its official reveal, screenshots and advertising and marketing supplies for The Elder Scrolls 4: Oblivion Remastered have been leaked from Virtuos’ backend on its WordPress.
“We’ve very strict processes and data controls at Facet which were honed over many years of labor and 1000’s of video games,” Garcia-Tunon says. “However our enterprise depends on our status – profitable tasks construct nice long-term relationships and proposals from earlier companions are price their weight in gold.”

Key phrases’ Liu provides: “Guaranteeing there are no leaks has at all times been a problem in sport improvement, particularly for tasks that take years to finish with lots of of individuals engaged on it at completely different instances. As with every studio, crew composition modifications all through the mission lifecycle, making leakages an ongoing space to watch.
“We are able to leverage skilled international IT and InfoSec departments to guard our consumer’s IP and knowledge. They oversee lots of of tasks, 1000’s of configurations, and have efficiently handled a huge variety of incidents, permitting us to convey a stage of safety surpassing a lot of our rivals,” Liu continues.
“Within the unlikely occasion of a knowledge breach, we inform the consumer at the start and collectively we discover a approach to resolve the scenario. Typically, as a result of we are open and trustworthy, the shoppers belief us extra.”
What comes subsequent
Seeking to the long run, it is clear that co-development is not going wherever anytime quickly. Fashionable video video games are, by and huge, too massive and require an excessive amount of specialist experience to be made by one firm, a minimum of inside a affordable timeframe. Co-dev companies are right here to remain.
“Basically, I feel distributed co-development is how video games will probably be – and needs to be – constructed shifting ahead,” DiGennaro says. “It has the potential to make a profound affect in the sustainability of this industry.”
Liu provides: “Regardless of the layoffs and mission cancellations, this industry will develop. We’ll work with companions to launch extra artistic content material and higher experiences, leveraging new know-how to create video games and mechanics which have by no means been seen earlier than. We’ll attain new creative heights that actually interact gamers.”
However, as with the remainder of the industry, change could also be afoot in the close to future. New applied sciences do appear like they may have an effect on how video games are made.
“Workflows are already evolving to incorporate growing applied sciences like AI,” Garcia-Tunon admits.
“That mentioned, my outlook is constructive – so long as we’ve people enjoying video games, we’ll want people to develop and focus on what video games ought to appear like.”
