Canadian Game Developer Magmic Launches $4 Million Fund for Local Startups

Ottawa-based gaming developer Magmic is launching a $4 million fund targeted at local startups.

The Canadian company, which was founded in 2002, made the announcement at the Ottawa International Games Conference this week.

Magmic, which employs 50 people in Ottawa, says that the fund will be used to pay indie game firms to develop games that Magmic can then publish on various platforms such as iTunes or Xbox Live.

Another announcement at the event came from the CEO of the Entertainment Software Association of Canada. In a keynote address, Jayson Hilchie revealed new research regarding Canada’s videogame industry: Canada has 329 videogame studios employing 16,500 full-time workers that generate more than $2.3 billion in GDP annually for Canada.

“Many people are still surprised to realize that Canada is the largest producer of videogames on a per capita basis, producing critically acclaimed video games on nearly all platforms and enjoyed all over the world,” he noted.

According to fresh data from Nordicity, companies report that the average budget for console games is $8.7 million, produced by an average team of 65 persons in 583 days, as compared to an average budget of $300,000 for mobile games, a team of 7 persons and 156 days of production.