Singapore has its sights set on Southeast Asia’s burgeoning video gaming market, valued at an impressive US$5 billion (S$6.9 billion), with a staggering 270 million gamers in the region. The declaration of intent came from Minister of State for Trade and Industry, Alvin Tan, at Gamescom Asia—a regional offshoot of one of the world’s premier gaming trade shows, slated to convene at the Suntec Singapore Convention and Exhibition Centre over four days.
The convention’s third edition in Singapore has experienced exponential growth, doubling the number of exhibitors since 2022 to more than 150, commandeering two show halls to cater to both businesses and gamers. In addition to showcasing the latest blockbuster titles like Assassin’s Creed Mirage and Spider-Man 2, the expansion of the convention mirrors the surging gaming sector within Singapore, now spearheading the nation’s digital economy, as reported by the Infocomm Media Development Authority in October.
Gaming in the city-state has demonstrated a remarkable compound annual growth rate of 70 percent between 2017 and 2022, outpacing e-commerce and online services. In his opening speech, Mr. Tan emphasized Singapore’s potential to become a hub for gaming and e-sports in Asia, a region that hosts over half of the world’s gamers. Projections indicate that Singapore’s video game and e-sports revenues will continue to grow at a substantial annual rate of 14 percent in 2023 and 10 percent by 2027, according to Statista.
To assert its presence on the global gaming map, Singapore collaborated with the International Olympic Committee to host the inaugural Olympic E-sports Week in June, drawing more than 60 nations to compete in 10 virtual sports titles. Japanese game developer Capcom also selected Singapore for its Street Fighter 6 tournament, attracting hundreds of players vying for a spot in the upcoming world finals. The growth of the gaming sector receives strong support from homegrown developers, as the government seeks to bolster the industry, ensuring competitiveness and fostering career opportunities.
Lars Janssen, Chairman of the Board of the German Games Industry Association, backing the convention, emphasized Singapore’s strategic location in the region, making it an ideal host for a trade show that continues to draw more exhibitors, including some of the industry’s biggest names.
The industry’s growth is expected to persist, albeit not at the breakneck speed witnessed during the pandemic. Nonetheless, Singapore’s connectivity within the vast Southeast Asian market, combined with its expanding gaming infrastructure, positions it as a frontrunner. Studios like HoYoverse, makers of Genshin Impact, and Ubisoft have set up shop in Singapore, tapping into the lucrative Asian market. Additionally, United States-based LightSpeed Studios has partnered with Singapore’s national artificial intelligence program, AI Singapore, to develop automatic Malay-to-English translation software, fostering cross-cultural gaming experiences.
While the gaming industry has seen its share of challenges, such as the departure of entertainment studio Lucasfilm in 2023 and the rocky development of Ubisoft Singapore’s Skull And Bones pirate game, experts like Mr. Janssen remain optimistic, recognizing such hurdles as part of the industry’s typical cycle. Singapore’s strong gaming infrastructure, coupled with its strategic positioning, is expected to weather such challenges.
David Liem, CEO of local game publisher Ripples Asia Venture, an exhibitor at Gamescom Asia, acknowledges the industry’s transformation during the pandemic. He notes that while the market expanded, inflation has tempered spending, leading gamers to be more selective in their game purchases. In response, publishers like Ripples Asia Venture are focusing on titles with popular licenses, opting for safer bets over obscure ones, such as DreamWorks All-Star Kart Racing and Nickelodeon All-Star Brawl.
Others in the market, such as local game development studio Onyx Studio, have diversified into overseas markets. Co-founder Tan Wen Hao shared that the firm began by animating objects for video games during the pandemic but has since broadened its horizons, creating game trailers and contributing to the development of virtual worlds in games like Cyberpunk 2077.
In Singapore’s dynamic gaming landscape, it’s evident that the nation’s gaming industry is poised for continued growth, fueled by strategic partnerships, homegrown talent, and a commitment to staying ahead of the curve in the ever-evolving world of video games.
(Source: Osmond Chia | The Straits Times)
