As Gyeonggi province decided to put continuous effort on e-sports and game industry, Pangyo techno valley in Seongnam City is moving toward the center of the game and content industry.
Gyeonggi-do, in Korea, has a large and growing game industry. About KRW 5.997 trillion of Korean game industry sales are
generated by companies based in Gyeonggi-do. The industry tends to attract a young
and enthusiastic workforce, a massive and enthusiastic user base, and a
thriving competitive side as e-sports popularity increases.
In 2018, Korean game market sales
were estimated at approximately KRW 14.29 trillion; since 2009, the market has
seen continuous growth of about 10% annually. Game exports alone are doing
better than the combined exports of the other content industries.
Promotion of e-sports & Game
Industry in Korea(Gyeonggi-do)
Gyeonggi-do has been hard at work to
promote its game and e-sports industry and will continue these efforts in the
second half of the year. So far the province has expanded local e-sports
capacity by supporting the construction of a new dedicated esports stadium, an esports training center, and more.
In order to foster the e-sports and
game industries, Gyeonggi-do is researching strategies to promote four areas:
game culture, e-sports, corporate development, and exhibitions.
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| Esport academy will be completed by 2021 ⓒ GGC |
The Gyeonggi Provincial Government
will complete two e-sports training centers for amateur players and provincial
residents by 2021 in addition to an e-sports academy to train talented players.
The province is also planning to secure its place as a globally recognized
e-sports center by hosting domestic and international competitions as well as
related events.
Furthermore, subsidies will be made
available for game activity clubs, including company, school, and other game
clubs, so as to create an active and lively e-sports environment that welcomes
all local residents including families, military personnel, and other groups.
As for the companies, the province
will nurture small and medium-sized game enterprises with a particular focus on
mobile game companies. To that end, 15 companies that have completed the
Gyeonggi Game Academy start-up program will receive a game start-up support
package of up to KRW 100 million over a three-year period.
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| Export consultations for small-medium game enterprises ⓒ GGC |
It’s also important to help smaller companies with overseas sales. Gyeonggi-do will actively utilize online tools for marketing, export consultations, and more so as to overcome limitations stemming from the COVID-19 pandemic, and the province plans to expand exports to overseas game markets from 6 to 10 countries by 2022.
Concurrently, a healthy gaming
culture helps eliminate negative views of the industry. To this end, the
provincial government will create a counseling center, dedicated to the
prevention, diagnosis, and treatment of game addiction. Gyeonggi-do will also
support counseling and medical expenses of up to KRW 1 million for local
residents in need of such services. Suwon Hospital, the Gyeonggi-do Medical
Center, and Uijeongbu Hospital are designated as game addiction treatment
institutions.
Promoting a healthy game culture also
requires game literacy; accordingly, game literacy education will be provided
through the lifelong learning service GSEEK.
Pangyo at the Heart of the Game
Industry
Pangyo Techno Valley has been a hot
bed for growth of the Korean game industry since 2004. Considered by some to be
the Korean “Silicon Valley,” Pangyo Techno Valley is located in Seongnam City, Gyeonggi-do, immediately south of Seoul. Seongnam is implementing projects to
promote the game industry, including the construction of an e-sports stadium as
well as a special game content and culture zone.
Pangyo offers benefits such as a wide variety of agencies that support or aid ventures and game companies, including
the Gyeonggi Content Agency, the startup campus in Pangyo Techno Valley, the
Global R&D Center, and the Yozma Campus.
Sampyeong Esports Stadium
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| Sampyeong Esports Stadium to be constructed by 2022 ⓒì„±ë‚¨ì‹œì² |
Perhaps one of the most well-known undertakings so far has been the construction of a new e-sports stadium in Sampyeong-dong, Pangyo Techno Valley, which is set to open in 2022. This 400-seat stadium, constructed at a cost of KRW 29.6 billion, covers 6,959 square meters.
The Sampyeong stadium will have a
main stage with 400 seats, a smaller stage with 50 seats, a studio, editing
facilities, broadcasting coordination facilities, a press room, and a game
addiction counseling center. Outside, the stadium will feature a large
12-by-25-meter media wall for 1,500 spectators. Seongnam will be the second
Korean city to have two or more e-sports stadiums.
Pangyo Game Culture Zone
Forty percent of Korean game
companies are located in Pangyo Techno Valley, including some big names such as
Nexon, NCsoft, Kakao Games, Smilegate, and more. As a result, various
game-related events are held in the vicinity.
Seongnam City is working to create a
Game and Content Culture Zone this year. Once completed, it will help the local
game culture to flourish. For example, it’ll be much easier to hold street
events when hosting game festivals or during e-sports events.
The city plans to foster the game
industry in cooperation with the Korea Total Economic Institute (KTEI). This
includes a KRW 1.9 billion investment for the creation of a game-themed street
in Pangyo Techno Valley by the end of 2023. The planned street will feature
games and gaming culture sculptures, special lighting, and hands-on experience
facilities.
Seongnam City hopes that this project
will increase the number of game and technology visitors through its proximity
to the Sampyeong-dong esports stadium.
In addition, Seongnam hosts Indie Craft, a Korean indie game festival with an open competition for indie game makers.
The Indie Craft festival was created to help foster the growth of the indie
game scene and promote the production of creative games by diversifying the
landscape.
It is expected that Pangyo’s
designation as a special zone will make it easier for companies to secure
talented personnel with additional benefits pertaining to the management of
foreign employee visas. With the right workforce, Seongnam will have the power
to become a center for games and gaming culture.
Challenges
Seongnam has embarked on an ambitious
project and, naturally, there will be challenges to overcome.
To start, there are infrastructural
improvements that the province and the city will have to work on. For example,
there are no universities in the vicinity of Pangyo Techno Valley. Institutes
of higher education assure that the high-tech clusters can access an
outstanding workforce and also collaborate in inter-institutional research.
In addition, there’s a lack of
housing suitable for young professionals who could be driven away by high
housing prices. Currently, less than 30% of the Pangyo workforce live in
Seongnam; the majority have to commute from Seoul and surrounding areas.
In addition, last year Nexon closed down its Nexon & Partners Center (NPC) startup support program after seven
years of operation. The closure of this popular program was sad news for the
gaming industry. NPC provided startup support to address different business
needs such as working spaces, financial support/investment, and publishing. NPC
was considered a successful venture start-up support program and, while in
operation, supported more than 80 startup companies.
To pave the way for a vibrant game
industry and become a mecca of gaming culture, Seongnam and Gyeonggi-do will
actively engage in research, planning, and the implementation of related policies
and projects.
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