Home Business The True Cost of Backend Technology for Mobile Game Publishers Revealed

The True Cost of Backend Technology for Mobile Game Publishers Revealed

The True Cost of Building Backend Tech for Mobile Games

In the ever-evolving world of mobile gaming, creating a hit game goes beyond just great content. According to a survey conducted by Metaplay, top-tier mobile game publishers are spending an average of $21.6 million to build and maintain their internal backend technology. This survey sheds light on the true cost of the tech required to scale hit games and the hidden impact on game programmers.

The survey, which included 125 senior executives at large mobile game development companies in the U.S., revealed that these companies have an average of 52 employees working predominantly in internal tech. It takes about 36 months for companies to build their own internal tech. However, the survey also highlighted the human costs associated with this in-house development.

Nearly three-quarters (74%) of respondents said that their game programmers had been impacted by being redeployed to work on internal tech instead of gaming content. This diversion of resources had negative consequences, with 41% stating that it had slowed down the game development process, 34% reporting increased ‘crunch’ working practices, and 34% acknowledging higher employee turnover.

Teemu Haila, chief product officer at Metaplay, expressed surprise at the statistics, emphasizing the challenges faced by game developers in today’s mobile gaming market. He stated that the high investment in backend tech without any guarantee of success is incredibly risky. Metaplay aims to address this issue by providing a solution that allows mobile developers to focus on creating great content instead of being caught in the expensive “build vs buy” dilemma.

Matt Wilson, a mobile gaming advisor and investor, supported this sentiment, noting that building internal tech is becoming prohibitively expensive and distracting game-makers from their primary responsibilities. He emphasized the importance of capital going towards product development and highlighted the need to move away from the outdated mentality of “if it’s not built here, it’s not good enough.”

The survey also provided insights into the types of games top-tier game studios in the U.S. are developing. Strategy games and shooters are the most popular genres, with 58% and 57% of studios working on them, respectively. On the other hand, hypercasual and card-collecting games are the least common, with only 22% and 18% of studios focusing on them.

When it comes to outsourcing, game development companies are most likely to seek third-party assistance for security and compliance (43%), multiplayer and/or matchmaking (42%), and game logic server hosting (41%). However, they are less likely to outsource observability tooling (26%) and data pipelines (14%).

The survey, conducted by Atomik Research, took place in April 2024 and included respondents who are C-level executives or tech team leads at game development companies with a minimum of 50 staff in the U.S. Metaplay, a Helsinki-based company, offers its own backend solution for game companies.

In conclusion, the survey highlights the significant investment required to build and maintain internal backend tech for mobile games. It underscores the challenges faced by game programmers who are diverted from gaming content to work on tech. By addressing these issues, companies can better allocate resources and focus on creating exceptional gaming experiences.

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