Video gaming software development growing in Wisconsin [The Post-Crescent, Appleton, Wis.]

Aug. 30--Michael Kieffer and his brothers, David and Jonathan, have turned a hobby into a business.

That's not unusual by any means, but the Appleton trio has joined a growing industry in Wisconsin -- video game software development. Specifically, Kieffer Bros. develops game applications or "apps" for Apple's iPhone and iPad.

The Kieffer's latest release is Aqueduct, a puzzle game, which sells for $2.99. Nearly 6,000 copies of the game have been downloaded.

It's possible others may follow the Kieffer's lead.

"It doesn't take much to create an app for the iPhone," Michael Kieffer said.

Developing software for Apple's iPhone is straight forward, Michael said. The brothers paid a $99 fee to the company, which allowed them access to programming tools.

"The bigger issue at play is the distribution network is there," Kieffer said. "For start-ups trying to develop a game, you need a distribution network and you need a payment system in place. With Apple's app store, you have global distribution and you can set your own price."

Kieffer said the Web has opened the door for game developers to succeed from anywhere.

"There's no need to be in Silicon Valley anymore where many of the developers are located," he said.

Growing industry

The Washington, D.C.-based Entertainment Software Association recently released its Video Games in the 21st Century: The 2010 Report.

The group reports the nation's computer and video game software industry employs about 32,000 people, across 34 states today. These workers received total compensation of roughly $2.9 billion.

Between 2005 and 2009, the industry grew at an annual rate of 8.7 percent. The average compensation for workers in the profession, which includes benefits, was $89,781.

In Wisconsin, the video game development has grown at an annual rate of 2.5 percent since 2005, the association reported. About 450 people were either directly or indirectly employed by a video game software company and the industry itself contributed about $23.3 million to the state's economy in 2009.

Luring more technology jobs to northeast Wisconsin has been on the radar of the New North, an 18-county economic development organization based in De Pere.

Jerry Murphy, executive director of New North, said video game development hasn't been specifically targeted by his organization, though he does recognize the potential.

"It hasn't been a strong suit for us, but with that said, companies like Frozen Codebase (a Green Bay-based video game developer), have had success," Murphy said. "They have been able to recruit top talent."

Murphy said if the region can capitalize on the success of firms such as Frozen Codebase, it can serve as a catalyst to encourage more start-ups to come to Wisconsin.

"We are churning out talent in Wisconsin, but the reality is, the coasts are luring people away," he said. "If we can establish a reputation as a good place for start-ups and small business entrepreneurism, we can start keeping our talent here."

Encouraging development

Shane Gurno, co-founder and artist for Madison-based Human Head Studios, has made a name for himself. His company, launched in 1997, has developed several successful gaming titles, including Prey, a first-person shooter action game, made for the Xbox 360 and PC.

Gurno worked for Raven Software, another Madison-based game company, before branching off on his own. He is a Wisconsin native and enjoyed the state's affordability.

"It was an easy decision for us to stay," he said. Human Head Studios employs about 35 people today.

Gurno said if Wisconsin wants more small business growth, the state must create tax incentives, specifically for start-ups.

"Wisconsin has the film incentive, but that helps large studio's from out of state more than video game studios in state," he said. "Also promoting big colleges to have video game programming, video game design and animation degree programs would bring more developers to Wisconsin."

Madison Area Technical College and the Madison Area Media Institute have provided some of the talent Gurno's company has needed. Additional programs are needed if the state wants to be an importer of talent.

"The more developers, the more opportunity for small companies to pop up," Gurno said.

The University of Wisconsin-Stout in Menomonie is working to capitalize on growing interest in video game development. The college in 2009 began offering a bachelor of science degree in game design and development.

In its first year, 16 students were enrolled in its game design and development-art program. This fall, 34 students are enrolled.

Game design and development-computer science at UW-Stout had five students in 2009. This year, 79 are enrolled.

Computer engineering had 38 students in its 2009 program. The fall semester has 63 students.

"We're trying to align our majors with what business and industry across Wisconsin and the Midwest wants," said Doug Mell, director of communications and external relations at UW-Stout. "Game design and development surfaced as an area that meshed with some of the things we already were doing."

Enrollment growth in its computer and gaming design program in its second year, impressed officials at UW-Stout, Mell said.

"We hit a winner here," he said. "The Chippewa Valley has a concentration of high-tech companies, so they're interested in our computer engineering students. That program is popular here because there is employment for those graduates."

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