Exchange rate drop will help work-for-hire studios' 'competitive advantage'While the fall in the value of the pound against the dollar might have made those transatlantic shopping trips a touch less tempting, development trade body Tiga is claiming that it's helping the UK's studios become more globally competitive.
“It’s an ill wind that blows nobody any good," said Tiga CEO Richard Wilson.
"The credit crunch and the accompanying turmoil in financial markets are wreaking significant economic damage across the globe. However, the decline in sterling against the dollar and the euro that has ensued with the credit crunch will help UK exporters, including games developers. Sterling could decline still further over the coming months if the Bank of England cuts base rates to support the domestic economy."
The situation, he says, means that the UK's usual strengths - a large pool of talented staff, talented management and an 'effective approach to outsourcing' - are now augmented with increased value for exporters.
He continued: “UK games businesses offer high quality games, produced on time and at great value. The 14% decline in the value of sterling against the dollar over the last 11 months has enhanced the inherent value and competitiveness of UK games developers. It is great time to do business with UK based games developers.”