Bavaria Strengthens Its Commitment by Doubling Its Gaming Budget

The Bavarian state government is sending a very clear signal to the local gaming industry. According to Digital Minister Fabian Mehring, Prime Minister Markus Söder announced a massive expansion of games funding at a strategy retreat. The total budget for gaming policy, which includes further measures, is set to double.

While Munich celebrates Oktoberfest, the Bavarian state government has decided on a massive expansion of support for the Bavarian games industry at a closed-door strategy retreat in Kloster Banz. According to Bavaria's Minister for Digital Affairs, Dr. Fabian Mehring, Minister-President Markus Söder has announced a massive expansion of games funding. Söder thus underlined Bavaria's claim to remain the number one location for games in Germany and to strengthen the industry in the long term.

"We want to develop Bavaria into a top European location for games. Even in difficult times, this funding of almost €13 million is a clear commitment by our state. By doubling the funding, we are giving creative minds throughout Bavaria even more momentum to turn their visions into successful projects and actively shape the digital future."

Bavaria supported the local games industry in 2024 with around €6.4 million in funding. However, the money does not go entirely toward funding games projects, but also finances numerous other measures. In addition to funding concepts, prototypes, and productions through the FilmFernsehFonds Bayern, the Free State also organizes or supports programs such as the Level Up – Games/Bavaria Accelerator, events such as GG Bavaria, and maintains XR hubs in Munich, Nuremberg, and Würzburg through the Games/Bavaria initiative. According to the state government, doubling the funding for games should enable small and medium-sized studios in particular to leverage their innovative strength, facilitate market entry, and create new growth.

Mehring makes it clear that Bavaria is not only broadening its financial base, but also investing specifically in the future of the digital creative industry: "Games are the innovation engine of digital transformation. With today's decision, we are ensuring that Bavaria will continue to set standards in the future – as a home for talent, a magnet for investment, and a premium location for games in Europe."

However, the massive increase in the budget also increases the pressure on other federal states to do more for the games industry. Just today, the regional representative of game in Rhineland-Palatinate called for an increase in funding to €2 million. It will be particularly interesting to see whether Berlin, North Rhine-Westphalia, and Hamburg, Bavaria's biggest competitors as gaming locations, will respond to Bavaria's budget increase. Berlin and North Rhine-Westphalia in particular have been very active in recent months and have strengthened their commitment to gaming, in some cases through special budgets or new funding guidelines.

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