Picture this: In a world where the global video game industry is grappling with stagnation and layoffs, New Zealand's gaming scene is soaring to new heights, defying the odds and proving that innovation can thrive even in uncertain times. But here's where it gets controversial – could this success story be a blueprint for other nations, or is it just a lucky anomaly? Stick around as we dive into the details that are making waves internationally.
According to the latest annual survey conducted by the New Zealand Game Developers Association, the country's video game sector reported a remarkable pre-tax income of $759 million for this year, marking a stunning 38 percent increase from the previous year. This surge is happening even as much of the global industry struggles to keep up, creating quite a buzz among experts.
Kate Edwards, who serves as the executive director of the International Game Developers Association, shared her insights on Nine to Noon, highlighting how New Zealand's vibrant ecosystem is catching the world's attention. She credited this growth to strong government backing and a robust education system that churns out skilled talent eager to join the games industry. For beginners wondering what that means, think of it like a well-oiled machine: supportive policies provide the foundation, while schools equip young creators with the tools they need to build the next big thing.
Edwards emphasized that sustaining this momentum is entirely feasible, setting New Zealand apart in an industry that's otherwise flatlining. She pointed out how, during the Covid-19 pandemic, many major game companies expanded aggressively, hiring crowds of new employees as gaming exploded in popularity – after all, with people stuck at home, video games became a go-to escape for millions, introducing countless newcomers to the hobby.
'But here's where it gets controversial...' Those companies, she explained, mistakenly assumed the boom would last forever. When life returned to normal, they were forced to scale back, leading to widespread job losses and financial woes. New Zealand, on the other hand, avoided that pitfall by focusing on steady, sustainable growth.
Edwards noted that New Zealand's gaming landscape remains largely composed of smaller studios, often classified as 'indie' or 'double-A' outfits, in contrast to the massive 'triple-A' giants like PlayStation, Microsoft, or Nintendo. To clarify for those new to the lingo: Indie games are typically created by small, passionate teams with limited budgets, while double-A represents mid-tier studios that produce high-quality titles without the blockbuster resources of the big players – think of it as the difference between a homemade craft beer and a well-funded brewery.
Yet, she highlighted that it's these smaller operations driving the most excitement and success in 2025. Take, for instance, the recent triumph of 'Clair Obscur: Expedition 33,' a game crafted by a modest 20-person team in France that dominated The Game Awards just days ago, sweeping awards and captivating players worldwide. Or consider 'Balatro' from the year before, a solo project by an anonymous developer in Saskatchewan, Canada, that exploded in popularity, racking up massive sales and accolades – proving that you don't need a huge team to create something extraordinary.
Even closer to home, Christchurch-based indie game 'Dredge' achieved phenomenal success in 2023, despite being developed by just four Kiwi creators. This underscores how small-scale projects can punch above their weight, often leading to viral hits that resonate deeply with audiences.
Edwards also touched on the varied lifespans of games: Some enjoy brief but intense runs, with developers quickly pivoting to sequels or fresh ideas, while others build enduring legacies, thriving for years. She cited the allure of novelty, as seen in the fresh appeal of games like Clair Obscur and Balatro, but also pointed to the 'long tail' success of established franchises. Think of classics like 'Call of Duty' or 'Battlefield,' which have dominated for decades, evolving with new installments that keep fans coming back.
A prime example from New Zealand is 'Path of Exile,' an online game launched in 2013 that has sustained a dedicated player base for over ten years. Its sequel, 'Path of Exile 2,' released last year to even greater acclaim, showing how persistence and community engagement can turn a game into a lasting phenomenon.
And this is the part most people miss – Edwards drew intriguing parallels with Finland's gaming industry, which has mirrored New Zealand's rise. 'I see a lot of similarities and parallels there, which is a really good thing,' she said, noting how Finland has leveraged its national identity to proclaim its developers as world-class. 'New Zealand developers are on par with that,' she added, suggesting the country could do the same by embracing its unique Kiwi spirit as a unifying force.
She urged the creative sectors to foster cohesion, emphasizing teamwork across media. In an era where games inspire films and TV shows – and vice versa – there's immense potential for collaboration. But is this national identity push a savvy strategy, or could it risk alienating global audiences? That's a debate worth having.
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What do you think? Is New Zealand's gaming success a model for the world, or do you see potential downsides? Could smaller studios really outshine the giants long-term? Share your thoughts in the comments – we'd love to hear your take!
