Codemasters MD Rod Cousens has called for more investment in the UK games industry - warning there are hidden drawbacks to developing titles in low cost locations.
Speaking at the Edinburgh Interactive Festival, Cousens said there are "hidden costs" when outsourcing to countries such as China. "Western companies in these areas are seen coming. They walk in and their cost rate is about 30 to 40 per cent of the UK, and then guess what? They discover the dollar and the rates go up.
"They also have high staff rotation, because they move from one to another as the salaries go up," Cousens continued. "You get rising prices and falling quality."
Other drawbacks, Cousens argued, include the time it takes to manage development in low cost locations, the lack of IP protection in place, and problems caused by language barriers and time differences. "High labour rates are nullified by creativity and quality... There is an aspect of this you can't put a price on, and that is the value of creativity," he continued.