The Finnish Game Industry is growing at a 39.5 percent growth rate because of some amazing game developers (SuperCell, Rovio, Remedy, (Among others)).

Below is an updated presentation on the market in Finland as well as an outline of opportunities in Finland for anyone looking to start an office there. Of particular note (although not in this presentation) is how Ilkka Paananen and the SuperCell team have deliberately chosen to ensure Finland receives the taxes it is due by not setting up operations in Ireland, the Netherlands Antilles and other tax havens, in order to pay what they owe their country. I applaud this approach to industry development and hope it serves as an example to other companies and countries on how a stand-up company deals with success and helps to build both an ecosystem and industry within a country.

My opinion is that with massive profits and mainstream appeal for many of its games, the Finnish game industry is setup in a way to pay for the development of games that can reach the global audience, but also ensure the industry’s ongoing success. It’s morally righteous and reverent to the local university system (as well as previous commercial entities such as Nokia) which have helped build it, and it appreciates the fact that the universities will continue to be a major part of its growth in the future.

In a world that is often short-sighted, Finland is a leader and their approach is a brilliant example in the post-Montreal economic development era.

Digi-Capital put out some numbers on recent investments and M&A Activity in the mobile games space.

  • 2013 investment in games has reached $876 Million through the third quarter
  • 2010 investment in games was $2 Billion
  • Average deal size in 2013 is $6.6 Million
  • 80 Percent of the top 10 deals have been executed by Chinese, Japanese or Korean companies
  • There have been 132 investments tracked in 2013
  • Average M&A deal size for games companies is $45.8 Million in 2013