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07.09.2016
FILM, MEDIA & GAMING

If not GAMEINN, then what? Other forms of financing the production of video games

Besides GAMEINN, there are other forms of financing for creators of video games. Their advantage is they can be obtained without the need for notification and waiting for the time-consuming proceedings in this regard by the Commission.

As we mentioned, GAMINN is a program using the exemption from the obligation to notify the European Commission on the basis of the Regulation No. 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market pursuant to Articles 107 and 108 of the Treaty (the GBER),

In the case of aid which does not fulfil the conditions laid down in the GBER, it is required to make prior notification of the planned aid to the Commission, on the basis of detailed guidelines regarding the categories of aid (e.g. the guidelines on state aid, intended for films and other audiovisual works), and in the absence of these – directly under the provisions of the Treaty on the functioning of the European Union (TFEU), in particular on the basis of article 107 paragraph 3 point d) of the TFEU.

State Aid and Regional Aid

It is worth noting that game developers consider applying for public support (also, in other forms than grants within the GAMEINN program) within the limits specified in the GBER. In this case, the support may in fact be achieved without the need for notification and waiting for the time-consuming proceedings in this regard by the Commission.

For example, on the basis of the GBER it is possible, under certain conditions, to receive regional investment aid as well as aid for research and development, for cultural projects or for  local infrastructure. Such aid may be – depending on the case – investment aid (for the production of specific assets) and operating aid (to cover the running costs).

Funding, games

Under the framework of the  GBER it is possible to obtain support from a variety of aid means provided for in Polish law, including grants (also in other activities than GAMEINN) and tax exemptions, including exemptions from income tax on the basis of the authorization to conduct business in a special economic area and exemptions in the property tax introduced by a municipality.

However, in any such case it is advised to analyse in detail the scope of the planned activities, as some projects may be excluded from aid based on the national law. For example, in the special economic zones one can not obtain a permit to conduct business activity in the field of licensing services related to the acquisition of the rights to use certain computer games, or acquiring rights to use certain computer programs.

“Creative Europe”, or where else to look for financial support?

In the end, it is worth pointing to the other approved source of financing for the production of video games, i.e. The Creative Europe MEDIA program based on the Regulation No. 1295/2013 of the European Parliament and the European Council of December 11th, 2013, establishing the “Creative Europe”.

Within the program there is the possibility of support for producers of video games in the development of projects with highly innovative content and quality game play, with the potential to distribute in Europe and beyond. There is also a chance to improve the competitiveness of the video game industry on the European and international markets by enabling preservation of intellectual property by European artists. The notice of further recruitment is planned initially at the end of the third quarter of 2016.

In the previous call for proposals, completed in March, 2016, the applicants could submit proposals of the development concept and design (activities by which the concept had to lead to the creation of a prototype suitable for a game or a test version) of a video game with highly innovative and creative storyline designed for commercial use on personal computers (PC), consoles, mobile devices, tablets, smartphones and other technologies.

#Creative Europe #EC #fundraising #GAMEINN #General Block Exemption Regulation #innovations #state aid #VIDEO GAMES

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