Lacking Tax Incentives, Tar Heel State Struggles to Lure Devs

April 15, 2010 -

North Carolina, while home to quite a few game developers, does not offer tax incentives to those creating interactive entertainment, which may be costing the state in its attempts to entice more companies to take up residence within its borders.

A piece in the NewsObserver offers this sentiment after attending the recently concluded Triangle Game Conference in Raleigh. State Representative (D) Pryor Gibson (pictured) has previously sponsored bills that would grant 15.0 percent tax breaks to interactive developers, but that legislation “has gone nowhere,” and the outlook for such a bill passing in the future is bleak, due to the state’s “budget crunch.”

Gibson doesn't appear to have given up though, and is said to be working “with fellow legislators on a bill for the coming session that will be attractive to video-game companies looking to expand and that will help retain existing businesses.”

In light of the lack of incentives, companies like developer Funcom, who maintains a customer support center in Durham, North Carolina, recently chose Montreal, Canada as home to a new development studio, unable to resist the lure of tax credits for labor that could reach up to 37.5 percent.

Funcom’s CEO Trond Arne Aas said that such incentives make Quebec, “one of the most cost-effective locations in the world.”

Troy Knight, a Managing Director of the Raleigh-based consulting and recruiting company atVaco, added, “If we don't offer incentives, I think we're going to start losing companies. They're going to look at Canada, Georgia, Texas, because they are offering incentives.”


 
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Andrew EisenYeah, I'll wait for the cheaper Game of the Year Edition that includes all the DLC.04/28/2015 - 2:17pm
PHX Corphttp://www.forbes.com/sites/davidthier/2015/04/28/a-full-version-of-batman-arkham-knight-costs-100/ A Full Version Of 'Batman: Arkham Knight' Costs $10004/28/2015 - 2:07pm
Matthew Wilsonhttp://arstechnica.com/business/2015/04/28/verizon-fios-sales-reps-you-need-to-pay-more-for-smoother-netflix/ come on now it doesnt cost that much to upgrade interconnect points.04/28/2015 - 1:05pm
Matthew Wilsonhttps://www.youtube.com/watch?v=3eD7zacG39I "Are eSports real sports and does it even matter?" is a solid video by TB on some of the controversy after heroes of the storm was on espn 204/28/2015 - 10:54am
james_fudgeTurns out laser cats are real in 2105.04/28/2015 - 10:08am
james_fudgeSorry I was time traveling this morning.04/28/2015 - 10:07am
E. Zachary KnightPHX, thanks. I fixed it.04/28/2015 - 9:14am
PHX CorpThere is a typo in the Gamestop raising 500K article, it should be 2015 not 210504/28/2015 - 8:36am
MattsworknameThis is the world now Colin, either get with the times, or get left behind. Your choice.04/28/2015 - 8:14am
Mattsworknamehttp://www.forbes.com/sites/insertcoin/2013/08/24/league-of-legends-finals-sells-out-las-staples-center-in-an-hour/04/28/2015 - 8:14am
Mattsworknamehttp://www.polygon.com/2014/7/29/5949773/dota-2-the-international-tournament-20-million-viewers04/28/2015 - 8:13am
Mattsworknamehe's not needed, not in the modern world, not in a world where more people attend the LOL finals for 5 million, then attend your average sports event.04/28/2015 - 8:12am
MattsworknameFunny that Colin Cowherd is so out of the times, he had to try multiple times to get the names of the games right. People like him are anachronisms.04/28/2015 - 8:10am
PHX Corphttp://kotaku.com/halo-mcc-esports-event-canceled-because-the-game-would-1700543158 Halo: MCC eSports Event Canceled Because The Game Wouldn't Work04/27/2015 - 10:15pm
Matthew Wilson@AE I know I was just stating where I stand on issues like that in general04/27/2015 - 8:12pm
Andrew EisenWho, Colin Cowherd? No one's suggesting he should be forced out. Or that he should commentate on video games.04/27/2015 - 8:10pm
Matthew Wilson@AE I do not think he should be forced ou though. he has his right to his opinion and shouldnt be forced out because people disagree with it.04/27/2015 - 8:07pm
ZippyDSMleeJim suggjested a pay what you want setup like humble bundel.04/27/2015 - 7:49pm
MontePerhaps they should just add a donation system for creators like the monthly pateron model. Only those who regularly make quality content can get compensated while those who would abuse the system are ignored04/27/2015 - 7:46pm
MontePaid mods is not a bad idea; i mean its only fair that makers be compensated and even better if they can do it full time. UNfortunatly there is too much that can go wrong and room for abuse04/27/2015 - 7:44pm
 

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