A vibrant ecosystem that provides opportunities for collaboration and business expansion, and a proactive and supportive government – these were some of the reasons cited by gaming companies for establishing their operations in Singapore.

Speaking at a panel discussion at Casual Connect Asia 2013, which was held at the Shangri-La Hotel on 21-23 May, Mr Allan Simonsen, Co-founder and Technology Director, Boomzap, said, “Part of what’s useful about Singapore is that there is a great community for game developers. The government also does a lot of heavy lifting behind the scenes to promote the industry.”

For example, agencies like the Infocomm Development Authority of Singapore (IDA) and the Media Development Authority help organise link-ups with venture capitalists and angels, sponsor conferences and provide local companies with exposure to various markets. “They do a whole lot of that kind of stuff that I don’t see in other countries,” said Mr Simonsen.

Casual Connect itself was the result of IDA’s efforts to strengthen the gaming ecosystem in Singapore and provide a platform for the various players to network. The global series of conferences and exhibitions attracts over 6,500 professionals from the casual games industry each year. In 2012, the agency worked closely with the organiser, the Casual Games Association, to launch the event in Asia. Held in Singapore for the second time this year, the event has helped solidify the country’s status as the regional game hub for Southeast Asia.

“We get exposed to a lot of players in the industry,” said Mr Oh Thongsrinoon, Vice President of Games at Mig33. “IDA has been proactive in matching companies with investors and connecting us with the right partners.

The presence of a rich games ecosystem presents many collaboration opportunities for startups and other players in the value chain. For example, Mig33’s social entertainment platform has about 50 million users in the region – something which game developers can tap on to develop a commercial proof of concept, said Mr Thongsrinoon.

Similarly Cherry Credits, a Singapore-based payment provider, has a large footprint that spans 126 countries. “If you are a games publisher, Cherry Credits has a good platform to help you reach out to these countries,” said its Co-founder Mr Addison Kang.

This value proposition resonates with what IDA is doing to grow the local gaming industry. Under its Connected Games Programme, IDA seeks not only to develop Singapore as the leading regional centre in the areas of publishing and distribution, but also to provide support for companies using Singapore as a hub to expand into other markets in Asia.

“We would really like to see companies based in Singapore but doing business in the region, as this will enable them to really scale,” said Mr Robert Kim, Director, Consumer Infocomm, IDA.

He pointed out that Singapore has a business-friendly tax regime and double taxation agreements with many countries around the world. This is an incentive for businesses looking to regionalise, as it means that when a company generates revenues overseas and brings the money back into Singapore, it will not be taxed twice. The large number of Free Trade Agreements – 36 and counting – also means that Singapore-registered companies will have easier access to these markets.

For companies looking to regionalise, IDA provides support on several levels. Amongst the levels, it invests in market research which covers issues such as the regulatory practices in each market, the competitive landscape, down to details such as the types of Internet data centres and payment gateways that companies can tap on. It also has an extensive network of contacts in the region, which is made available to members of the Beyond Singapore Programme. The intent, said Mr Kim, is to “provide you with the right information for you to get into that market”.

In addition, local companies are given the opportunity to participate in in-market accelerator programmes, under which IDA links them up with in-market incubators and mentors with extensive experience in gaming, infrastructure or related consumer businesses. These incubators and mentors will help them understand the market, advise them on the set-up of local operations and infrastructure, and connect them with investors if needed.  “We are focused on helping companies to regionalise, to help you go to other markets in Asia and beyond,” said Mr Kim.