Opportunities for State Funding of Game Development in Russia
We continue to publish transcripts of lectures from the "Gaming Industry" conference held in July. Up next is the presentation by Maryam Karpova, head of the "Start the Game" competition. Her talk focused on the current funds available in Russia ready to subsidize game development.
The next "Gaming Industry" conference will take place on October 15-16 in Moscow. Learn about the speakers and purchase tickets here.
Let me start by saying that there is only one specialized organization in Russia that specifically provides funds for game projects—this is the Internet Development Institute. I believe everyone knows this. However, there are non-specialized organizations that can also provide funding for game development. Let's start with them.
As you know, our country is currently actively supporting the IT industry, which includes the gaming industry (although I believe it's more of a creative industry).
The chart above lists development institutes supported by the Ministry of Digital Development of the Russian Federation. These institutes receive budgetary funds for distribution towards IT development.
Each development institute finances different volumes of funds and, accordingly, different directions for projects.
"Skolkovo"
We'll start with the "Skolkovo" fund. Why do we start here?
The reason is, like the "Start the Game" project, it is implemented within the framework of the presidential platform "Russia - Land of Opportunities". The fund co-organized the nationwide competition "Start the Game" in the first and second seasons in the part concerning the accelerator of game projects.
There is one nuance when working with "Skolkovo".
The fund provides a grant if your game includes technological innovation. That is, if you are developing your own engine or have some interesting, original mechanics that can be developed towards IT development.
This is probably one of the most interested funds in games.
What can you get from the fund if your game has an interesting technological component?
Firstly, a grant for technology enhancement. To do this, you become a "Skolkovo" resident and undergo certain procedures.
I must note right away that for everything I'm sharing, a team will first and foremost need a very good lawyer. They need to be involved from the very beginning because documents and contracts are very important.
Many are naturally afraid to take government funds, but it's not that scary if you have a good lawyer and use your common sense.
Returning to "Skolkovo", if you become a resident of the fund, you get the opportunity to apply for microgrants that can be spent on marketing, assistance with expanding to foreign markets, and paying for participation in conferences in various countries.
Russian Foundation for Development of Information Technologies (RFRIT)
The main condition for this fund is to generate revenue after launching the project.
Failure to achieve a certain level of revenue could result in being required to return grant funds.
In reality, this is a common requirement. Teams that take funds must meet a whole range of KPIs—these can include download numbers and various other factors. Additionally, teams are required to submit advance reports on time, conduct all audits required by the fund, and so on.
Regarding the funds, the grant amount ranges from 20 to 500 million rubles, but again, we understand that this is a grant for the development of domestic IT solutions, implementation, promotion, and digitalization.
In other words, we should understand that at present, if you want to secure funds for game financing, you need to "package" it as an IT product.
Internet Initiatives Development Fund (IIDF)
The folks at this fund are highly motivated to work with domestic IT products. They have their own accelerator through which many teams have passed.
The priority investment areas of the fund are:
- educational technologies;
- telemedicine;
- media.
I highlight these areas because many games currently in development are being created with the idea of being useful and educational.
So, if your project theoretically fits into one of these priority investment areas, you can certainly try to apply.
Most importantly, don't forget to engage a competent lawyer. It's very important to read documents and work with the documentation provided by the specific funds that interest you.
For instance, IIDF also offers free accelerator programs. By participating in them, you can try to prepare these documents so that you are ready when the competition happens.
Regarding funding, they offer between 5 and 200 million rubles for IT projects.
Internet Development Institute (IRI)
Everyone knows the story with "Smuta". IRI financially supported the guys.
The Internet Development Institute, as I mentioned, is currently the only specialized organization that supports games.
The volume of funding varies but in the past two years, over a billion has already been invested. Of course, when talking about AAA projects, this is relatively little, but for teams starting to fill our current domestic market, it can be a good support.
IRI typically holds two contests per year:
- national content competition;
- youth content competition.
The most important rule with IRI, as with any other quasi-governmental organization that distributes budgetary funds, is usefulness for Russian society.
Therefore, the games you present to IRI must meet the criteria of being beneficial to Russian society. This could be some form of historical reconstruction, a game dedicated to the regions or languages of Russia, and so on.
IRI also imposes mandatory KPI for downloads. If you are applying for a certain amount, you must meet the KPI corresponding to that amount.
Projects may be advanced-funded, but IRI often prefers post-payment.
Compared to other funds, you typically break your project into stages and are paid for each stage sequentially. Funds prefer paying for a stage you've completed so that you have the opportunity to deliver everything in parts.
Presidential Fund for Cultural Initiatives
Now, we switch from grants for IT to grants of a cultural nature. This is a separate topic. We have several organizations financing cultural projects.
The Presidential Fund for Cultural Initiatives is one of these funds that grants for beneficial games. The maximum amount here is 10 million, and the minimum is 500 thousand.
This level is entirely different, more suited for young teams making a small, first-time game.
Rosmolodezh. Grants
As a reminder, youth in our country is now defined as those aged 14 to 35 (although there are plans to increase this to 38 years).
What is Rosmolodezh? It's a ministry of youth policy focused on working with youth through festivals and various activities.
They have a separate direction called "Rosmolodezh. Grants". The aim of this direction is to give young people the opportunity to make their first projects, which are again aimed at social improvements.
So if you fit the youth criteria and need a little funding to start a project, you might try applying through "Rosmolodezh. Grants". They accept applications year-round.
"Start the Game"
We are a competition aimed at training young people in game professions.
This year, we have one major competition track called "Game Creator". This year, we will be awarding grants. Grants will be awarded by VTB, our general sponsor, which is planning to move towards the gaming industry.
The prize fund of the competition is 1.6 million rubles.
To receive a portion of this prize fund, you need to register on the platform and complete part of the assignments by creating your own game. Naturally, a useful game.
The main thematic directions are four in number:
- family games;
- esports;
- languages of Russia;
- science of health and education.
That's all for now.
