In-House vs Outsourced Game Development: What’s Best For You?
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13.12.2024
The gaming industry is booming, with the global games market projected to generate $187.7 billion in 2024, marking a +2.1% year-on-year growth. This growth is being driven largely by the continued dominance of PC and console games, which are expected to account for 51% of global market revenues.
With such a thriving market, game developers are under pressure to create high-quality, engaging experiences quickly and cost-effectively. However, the choice between in-house and outsourced game development can significantly impact how fast and how well a game is made.
Both options come with their own advantages and challenges, and understanding what works best for your specific situation is key to making the right decision. In this article, we’ll help you figure out which choice is best suited for your needs in an ever-expanding, competitive market.
Understanding In-House Game Development
When you go the in-house game development route, you’re building your game with a team of people who are directly employed by your company. This team typically includes designers, developers, artists, sound engineers, and testers who work together under one roof to bring your game to life.
The main advantage of this approach is that you get full control over the development process. You can oversee every step of the project, quickly address issues, and make changes as needed. Plus, your team becomes deeply embedded in your company’s culture, which can lead to better collaboration and communication.
Some of the key benefits of in-house game development include:
| Full control | When you have an in-house team, you make all the decisions. You can steer the project in whatever direction you think is best and make adjustments on the fly. |
| Faster communication | Since everyone is working together in the same space (or within the same company), it’s easier to have clear, quick communication. This can reduce misunderstandings and help keep the project on track. |
| Stronger team bonds | Building your team from within helps create a shared company culture. As your team grows and evolves, their familiarity with your goals and mission can lead to more cohesion and long-term collaboration. |
| Consistency | Your in-house team is committed to your game, and you don’t have to worry about external teams coming and going. They’ll be available whenever you need them, and they’re already familiar with your game and company. |
However, there are also some drawbacks:
| Higher costs | Hiring full-time employees, offering benefits, and maintaining an office can get expensive. The overhead costs of an in-house team can add up quickly, especially if you’re just starting out. |
| Limited expertise | Even if your team is talented, they might not have the expertise needed for every aspect of game development. You might find that some specialized tasks, such as advanced animation or certain technical features, require additional support. |
| Longer hiring process | It can take time to recruit, hire, and onboard new employees, which can delay your project’s start. |
Outsourced Game Development Means Getting Global Talent
Outsourced game development means hiring an external gaming development company to handle certain parts (or all) of your game’s creation. This could involve anything from coding and design to sound effects or testing.
Often, outsourcing allows you to tap into global talent, meaning you can find specialists in areas where your in-house team may not have experience.
The main benefit of outsourcing game development is that it gives you access to specialized skills and a larger talent pool, sometimes at a lower cost than hiring full-time employees. Plus, outsourcing can be a great way to speed up development or add extra support for tasks that would be difficult or time-consuming to do in-house.
Here are some reasons why you might consider outsourcing game development
| Cost savings | One of the main reasons people choose to outsource game development is to save money. You can often hire highly skilled professionals at a fraction of the cost, especially if you work with companies in regions with lower labor costs. |
| Access to expertise | When you outsource game development, you can hire a team that specializes in certain aspects of game design or development that you might not have in-house. |
| Faster turnaround | If your game requires a lot of work or you need to meet a tight deadline, outsourcing game development allows you to bring on additional talent without the hassle of hiring new employees. More hands on deck can help speed up the development process. |
| Flexibility | Outsourcing gives you the flexibility to hire professionals for specific parts of the project. If you only need help with a few tasks, you can bring in experts temporarily, without having to hire them full-time. |
But, outsourcing also has its challenges
| Communication Challenges | While working with an external team can sometimes create challenges around time zones and coordination, these hurdles can be easily overcome with the right tools and clear communication. |
| Less Hands-On Control | One of the downsides of outsourcing is that you may not have the same day-to-day involvement in every aspect of the project. |
| Quality Assurance | When you rely on an external team, it can sometimes feel like there’s a risk of misaligned expectations or quality inconsistencies. |
If You’re Still Wondering Which Is Right for You…
Now that we’ve covered both sides of the equation, how do you decide which one is the best fit for your game?
Here are a few factors to consider when making the decision:
Your Budget
One of the biggest factors in deciding whether to go in-house or outsourced game development is your budget. In-house development tends to be more expensive because you need to hire full-time employees and cover their salaries, benefits, office space, and other overhead costs. Building a mid level mobile game alone can range from $10K to $50K, depending on the scale and needs of the project.
If you’re working on a limited budget or just getting started, outsourcing game development can be more cost-effective, allowing you to hire talented professionals without breaking the bank.
The Scope of the Project
If you’re working on a large, complex game, outsourcing game development might be the best way to bring in the necessary expertise. Specialized skills in areas like 3D modeling, VR, or AI may not be available with your in-house team.
On the other hand, if your project is smaller or more straightforward, an in-house team might be enough to get the job done.
Time Constraints
With the global games market growing rapidly and competition increasing, time is often of the essence. If you have a tight deadline and need to get your game out as quickly as possible, outsourcing game development could be a great way to speed up the process.
You can hire additional talent to work on different aspects of the game simultaneously, helping you meet your goals faster. In-house teams, depending on their size and available resources, may not be able to work as quickly.
Level of Control
If having complete control over your game’s development process is important, an in-house team may be the better choice. With an in-house team, you can have regular check-ins, make decisions on the fly, and ensure that everyone is on the same page.
If you outsource game development, while you can still give feedback and manage the project, you might find it harder to make quick changes or resolve issues in real time.
Long-Term Goals
Consider your long-term goals when making the decision. If you’re planning to build a game development company and have several projects lined up, building an in-house team might be the best way to go.
You’ll have dedicated employees who are aligned with your vision and who can continue to work with you on future games. However, if your game is a one-off project or you don’t want to commit to hiring full-time employees, outsourcing game development might be the better choice.
Conclusion: In-House or Outsourced Game Development?
There is no right or wrong choice when it comes to in-house vs. outsourced game development—it all depends on your unique needs. If you need full control over the project, want to build a strong internal team, and have the budget to support it, an in-house team might be the best option. If you’re looking to save costs, need specialized skills, or want to speed up the development process, outsourcing game development could be the solution.
With the global games market growing year after year, there’s a lot of potential for developers to capitalize on new opportunities. The decision of in-house or outsourced game development will depend on your specific circumstances, but in either case, making the right choice will help your game stand out in this competitive, fast-growing market.
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