Helsinki may not be the first city that comes to mind when you think of places that are renowned as centers of technological innovation.
However, this relatively tranquil northern European city is home to some of the most ambitious and successful video game developers in the world.
Helsinki is the birthplace of Angry Birds, home to big game studios such as Clash of Clans creator Supercell, and the location where Netflix has chosen to establish its first internal gaming studio. “Why Helsinki? It is home to some of the finest gaming talent in the world, according to the broadcaster.
Due to all of these factors, the Finnish capital is regarded by many to be the capital of the mobile gaming industry, which is currently estimated to be worth £120 billion to the global economy.
Which begs the obvious query, how did this reputation develop?
In the 1980s and 1990s, Finland was not regarded as one of the world’s richest nations.
A significant portion of the populace relied on computers that were far from cutting-edge. The restrictions that resulted contributed to the growth of the subculture known as the “demoscene,” in which programmers created art presentations, music, and games that stretched the technology of the period to its limits.
The Finns had become accustomed to accomplishing a great deal with limited resources when Nokia appeared.
Sonja ngesleva, CEO of Helsinki-based Phantom Gamelabs, explains that this foundation is a significant factor in the success of the games industry in the city today: “Nokia demonstrated that we could build something substantial from here,” she says.
As a games developer, board member of the successful console developer Remedy games, and founder of a new development company, Sonja is intimately familiar with the Finnish games industry.
She explains that Nokia collaborated with young talent from the Finnish demoscene, which, despite the absence of major games in the city at the time, made people realize “we don’t need to travel, we can do it ourselves from here”
People in the city, which is approximately the same size as Glasgow, are aware of its success in the video game industry and are glad to discuss it in bars and cafes. Politicians and government officials have also attempted to capitalize on this region.
According to Sartita Runeberg, director of gaming at technology infrastructure firm Reaktor, “Finns have been tech nerds since the dawn of time!
“In this culture, it is acceptable to attempt and fail, and then to try again. When you don’t have to worry about failure, you can be much more daring. This is how many gaming businesses began.
To be effective, game companies require the appropriate infrastructure. Reaktor offers company governance, marketing, and technology support to many of the 200 game studios located in this area.
Runeberg says, “We know we can rely on the social security system, so you don’t have to mortgage your home to start a business, and the government is very supportive of gaming companies. You can easily obtain grants for experimenting with new ideas and money for proof-of-concept studies to determine whether something works in specific markets.
Nobody wants to move to Helsinki because of the weather, for instance, so we must offer them a reason to relocate.
Thirty percent of the developers who reside in Helsinki’s tram-lined streets have relocated from other nations.
Attracting the world’s top developers is crucial to Helsinki’s strategy to remain a leader in the gaming industry, and this is what Helsinki Partners does.
According to Johanna Huurre, head of strategic initiatives at Helsinki Partners, “every company recruits from abroad and aggressively pursues specific talent with the expertise they require.” “They are coming from South America and Europe, and it is easier to travel in Europe, America, and Asia.
Companies and developers are not provided with significant tax incentives or considerably higher salaries to establish a presence in Helsinki. According to Huurre, the sale is more simple.
She says, “Helsinki is renowned for its work-life balance, and we have a good life here.” “We are very ambitious with our work, but we enjoy our leisure time so much that we are very efficient with our time at work; we have few pointless meetings.
“Life is much simpler here, and after the pandemic, these softer ideals are becoming increasingly significant. As a result of our robust support system, we don’t have to worry about schools or safety. So parents feel much more at ease here than in other nations.”
The combination of the tech heritage of Helsinki, government backing, and determined talent acquisition is effective. In 2022, the game companies of Helsinki earned £2.8 billion.
The UK’s games market was worth £4.7 billion to the UK economy during the same era, but the country is 12 times larger.
Global smartphone gaming capital
Supercell is one of the major success tales of the Helsinki scene. Reportedly recently purchased by the Chinese corporation Tencent, the game’s developer has a market value of $11 billion (£9.2 billion).
Stuart McGaw relocated from Scotland to work for the studio and is in control of the popular mobile game Clash of Clans, a base-building game. “Like many people, I recall playing Snake on the Nokia 3210 as a child,” he chuckles.
Encouraged by the reputation of the games development community in Finland, McGaw chose to relocate to the country after beginning his career at home. People here have heard a great deal about the success of game businesses, he says.
With studios that “punch above their weight for a country of this size,” he believes that locals are more conscious of the work of developers and view the industry as vital to the country’s future.
Other cities in the world won’t be able to replicate the Nokia legacy and skillset developed in the 1990s, but there are fascinating lessons to be learned from this instance that demonstrate how big things can come from small places.
