"Revenue from art outsourcing increased by 25%," Denis Khamin from Allcorrect on the results of 2025

We continue to summarize the year 2025 with gaming and related teams. Next up is an interview with Denis Khamin, co-owner of the game localization and 2D- and 3D-art outsourcing studio Allcorrect.

How was the year 2025 for your outsourcing company? Which sectors developed most actively?

Denis Khamin, Allcorrect: In 2025, we continued to embrace artificial intelligence and were finally able to implement our developments into a product.

As for the numbers, revenue from localization slightly decreased, while art grew by 25%. Over the year, we gained 77 new clients and delivered 7 presentations at 16 conferences. Total revenue was $7.5 million, slightly less than last year.

Unfortunately, the art growth was less than expected as we are still searching for our niche.

In localization, we are currently testing our new product, Run.loc, which we fully launched in December. We aimed to combine all 18 years of our game localization experience into one service. It’s an AI-based localization with six automatic contextual checks: including checking the translation’s compliance with relevant country legislative norms, age rating requirements, and more. Our linguists set initial project-specific settings, followed by partial translation verification. Essentially, Run.loc is an add-on that brings AI-engine translations to a professional level.

In general, with AI, we are doing the same as with human-performed localization — taking charge of the process and freeing up clients’ time for game development.

Initially, we thought Run.loc would appeal to indie game developers, but recently a mobile game developer approached us for a project localization of 1 million words in one month across four languages. We believe that mobile game publishers will appreciate the quality and speed of localization with Run.loc. The price is also pleasantly surprising.

How did the game outsourcing market change in 2025 overall?

Denis: As far as we can see, gaming companies continue to cut staff and are cautious about launching new projects.

Judging by our portfolio, GAAS shooters are doing fairly well, so there are more projects of that kind.

Unfortunately, some public game outsourcers stopped publishing market analytics, so there’s no reliable data. However, we observe that part of the work that outsourced contractors used to handle is now done by AI or AI-based products. We believe this trend will continue.

How has working with clients changed? What changes have been observed in orders, requirements, wishes, and budgets?

Denis: Overall, client requirements regarding deadlines, quality, and price remain fairly stable. A few new demands: many clients explicitly request not to use AI in our work and demand enhanced security measures for information handling. For these purposes, we separate processes for human and AI localization work.

This also applies to art, where we see not only client demands but also player demands.

In art, based on our analysis, there remains quite a range in client expectations and project cost assessments among outsourcers. The same works are labeled differently by different contractors. We believe there are hidden opportunities here for us.

What was decisive for successful outsourcing this past year? Which niches, on the contrary, have compressed?

Denis: As always, successful outsourcing requires listening to client demands, being flexible, and quickly implementing changes.

Honestly, we haven’t globally assessed the compression or expansion of individual niches. Likely, testing and development outsourcing also face AI pressure, but we can’t comment on that.

What conclusions have you drawn from operations in 2025?

Denis: We initially thought we were lagging behind in adopting AI, but ultimately our approach allowed us to use AI more judiciously: not trying to create our own LLM engines, but building add-ons to those already established, leveraging our experience and expertise.

The first results of Run.loc are very encouraging, and had we launched our service earlier, we might have earned more. On the other hand, we are confident in our product now, and client comparisons with competing solutions work in our favor.

What trends in outsourcing do you anticipate strengthening or emerging in 2026?

Denis: The separation of AI processes and manual work in localization and art — not just at the level of statements but at the level of processes and client requirements.

We hope that the anticipated release of several long-awaited projects in 2026 will spur investor interest in the gaming industry, leading to new outsourcing projects.

What tasks and plans does the company have for 2026?

Denis: Find a niche for our art department and establish ourselves in it.

Increase the order portfolio for Run.loc with mobile game publishers and indie developers. Test a subscription model for our services.

If Run.loc's launch is successful, we’ll try to extend our AI approach to game testing and voice acting. We might also explore expanding Run.loc for non-gaming clients.