Gaming is one of the most thriving industries with millions of people enjoying new games everyday and making billions in revenue. Statistics show that the global gaming market was valued at USD 249.55 billion in 2022 and is expected to grow to USD 665.77 billion by 2030.
This growth has led to a constant demand for skilled game developers capable of creating high-quality content, meeting tight deadlines, and delivering exceptional projects. As a result, the debate between in-house vs outsourced game development has become increasingly relevant.
While some studios prefer to train and rely on their own in-house teams, others believe outsourcing can offer massive benefits. Let's explore both approaches, highlighting their strengths and weaknesses and determining the best outsourcing strategy for your gaming projects.
In-house production is a commonly used term in game and software development businesses. It refers to a business task or function which is completed with a company's own workforce and resources, without any external assistance.
In-house game development refers to the process of creating a video game with a studio's own employees and resources. This means from concept to design development, production, and post-production, all tasks will be handled by their own internal team.
It is often appreciated for creating a collaborative work culture between different disciplines. However, just like any other approach to game design, in-house development has its own benefits and challenges.
In-house game development offers several advantages for studios who want to keep a complete control on their projects. Here we have listed some of its key benefits.
In-house staff provide greater control over quality assurance. Working with an in-house team helps a business with better oversight of the development process. It allows them to implement specific quality standards and monitor regular progress to make sure that the final product meets their standards.
Companies often opt for in-house game production as the entire team gets to work under the same roof. This creates a collaborative work culture between different teams and the job is done in due time.
Moreover, in case of any technical or interdisciplinary assistance, all teams can reach out to each other in no time. Such collaboration ensures a timely project completion and promotes knowledge sharing between employees.
Designing and developing a video game is a highly creative and labor-intensive task. It takes a lot of hard work from artists, graphic designers, and creative professionals to create unique visuals that delight the users.
When working with external partners, there is always a risk of intellectual theft or disclosure of sensitive information. Having an in-house team ensures that your creative assets remain safe with relevant people.
Along with different benefits, in-house game production also presents several challenges that studios must carefully consider. Let's take a look at them:
Running a fully independent game studio comes with high upfront costs. Depending upon your business model, it can range from $ 20,000 to $2,00000 to start a small indie. This includes high-tech gaming computers, software licensing, advanced gaming audio systems that need continuous maintenance and upgradation. This financial burden may not turn out to be feasible for the long-term.
Creating video games need a diverse skill set including technical expertise, storytelling, programming, UX,UI design knowledge and strong communication. These services need a dedicated team of artists, sound engineers, developers and animators.
Building an in-house team with expertise in all these areas needs an internal development budget and a significant amount of time. All of these challenges can make it difficult to maintain an efficient in-house workflow.
Outsourcing refers to the delegation of certain tasks or operations to external entities or organizations. This approach deviates from a traditional in-house practice and works as a cost effective strategy for businesses seeking specialized expertise.
Outsourcing game development means a gaming studio will collaborate with an external partner or company to execute specific parts of the project such as storyboarding, animation, programming or sound development etc. This can either be a long-term collaboration or a short duration project as per client's requirements.
In comparison to in-house vs outsourced game development, the latter offers greater flexibility. According to a report by the International Game Development Association, 27 percent of game developing experts work as freelancer or outsourcing partners. There are also plenty of game outsourcing studios that provide specialized teams to support game development processes.
A partnership with outsourcing companies help game studios to access a wide range of expertise, improve their workflow and potentially save on overhead costs. Here are some prominent advantages of outsourcing game development.
Partnership with outsourcing companies is way more cost-effective than maintaining an in-house team. This is because they have dedicated studios with all facilities and a team of dedicated experts. Outsourcing with external studios saves you from a significant capital investment in infrastructure and technology.
This is the biggest difference between in-house vs outsourced game development. Outstaffing with external studios allows you to hire from a global network of skilled gaming professionals. Outsourcing studios have a team of experts that helps you choose the best talent from video game programming, mechanics, engineering, VFX and much more. This access to diverse portfolios help you achieve the best results without compromising on the quality.
Game development studios often face fluctuating workloads that need specialized experts for specific projects or timeframes. Lets say, a studio may need to hire a team of 3d game developers for a new project. However, once the project is complete, the team needs to be scaled down.
Outsourcing agencies can easily help companies to scale up and down as per their requirements. This flexibility allows them to work with industry experts for occasional or long-term projects without hiring them as full-time employees.
Video game industry is famous for its notorious and tight deadlines. To maintain a competitive edge it's crucial to release the games on a scheduled date with promised features. This intense pressure can put an unnecessary burden on the in-house teams leading to burnout and quality issues.
Outsourcing professionals can help you handle these critical milestones and ensure the projects are completed on time. This is particularly beneficial for projects with peak periods of development or when specialized skills are needed for a limited time.
Just like an in-house setup, outsourcing comes with its own set of challenges. Let's see how businesses working with outsourcing studios need to deal with project management and communication challenges.
While outsourcing gives you access to some of the best portfolios, it can also be a challenge at the same time. Outsourcing game development can make you lose direct control of day-to-day operations of a project. Also, to accommodate the preferences of external creative professionals, studios may need to make some compromises on their vision. This may lead to a final project that doesn't align with the initial concept.
Online outsourcing studios are geographically dispersed and work from different time zones. Working with global professionals can also present challenges like language barriers and cultural differences that can hinder communication. To address these issues, a moderating platform is highly important to schedule and manage work operations in a systematic way.
The above comparison of in-house vs outsourced game development shows the advantages and challenges of both approaches. While in-house development offers a strong control and collaborative approach, outsourced development provides cost-effectiveness, diverse talent, and scalability.
Outsourcing game development requires careful planning, clear communication, and strong project management for successful implementation. Here is your step-by step guide for a successful outsourcing program.
A successful game design project starts with a clear idea. Before reaching out to external partners, define your project's scope in detail. Outline your game's concept, target audience, and timeline.Lets say, if you are creating a first-person shooting game, define the game's setting, gameplay mechanics, weapon arsenal, and playing modes.
There are various game development outsourcing platforms providing different services. Explore established platforms and review their online portfolios to assess their experience, scope of work, and expertise. This will help you decide if their capabilities align with your project vision and make the decision-making process easy for you.
Once you have selected a platform, schedule a call to discuss your project's vision and scope in detail. A reputable outsourcing platform should offer you different collaboration options, such as:
Once you have established a sound understanding with your outsourcing partner, the remaining process should be relatively smooth. Working with a professional term typically needs minimum intervention and control.
However, to ensure the project stays on track, it is advisable to schedule regular meetings and review progress. This allows for timely feedback, issue resolution, and adjustments to complete the project smoothly.
The decision to choose between in-house vs outsourced game development depends upon a studio's specific needs, budget, and priorities. While in-house operations offer greater control, collaboration, and intellectual property protection, outsourced development stands out for cost-effectiveness, access to diverse talent, and scalability.
The game development outsourcing market is continuously expanding and offering different solutions for game development studios. Cominted Labs, a trusted partner in the industry, provides excellent but affordable solutions to bring your vision to life. Visit Commented Labs today and book a call to get in touch with the experts!
