Playing the Ukraine Game

We often fail to notice that things are happening around us, which will be discussed on television and in the press five years from now. New trends become new phenomena, as in the case of the famous Ukrainian computer game called Cossack and the people who were involved in creating this software. Until recently, almost everybody was playing this game, from children to bank managers, from college students to MPs. The Cossack game was installed on every third Ukrainian PC, and it remains extremely popular in Ukraine, other post-Soviet countries, and even in Europe. Serhiy Hryhorovych, currently with Kyiv’s GSC Game World, may be described as a Ukrainian Columbus, who helped conservative Europeans discover Ukraine by convincing them that people in this country could develop and supply competitive products in the computerized entertainment industry. The Day ’s journalist met with him and discussed the Cossack game and the entertainment industry in Ukraine. This is an entirely new sector, which includes the production and sales of computer games, whose share on the world market is estimated in dozens (if not hundreds) of billions of dollars. What’s the big deal, some may wonder. So our children, even adults, play computer games, so what? The point is that in the West this type of CD ROM sells for $40-50; a popular computer game can sell between one and twenty million copies all over the world. A company may invest $10 or $100 million in the development of a computer game in the West. Computer games are becoming objects, even subjects, of both domestic and international politics. Parliaments are debating bills to enforce restrictions on violence in computer games-or bills to stimulate their production. Another example: Western countries consider Ukraine a leading supplier of pirated software and computer games, which is resulting in tremendous losses for Western companies. The EU and the US are threatening sanctions and discussing the issue at the highest political level. This is only the tip of the iceberg. Below, Serhiy HRYHOROVYCH comments on the specifics of developing national computer games, specifically the Cossack game.

You’ve probably already been asked this question before: Why Cossack? Why the national historical context?

Hryhorovych: When we were embarking on the project, we remembered a Ukrainian animated cartoon about Cossacks. And what was it about? Ukrainian Cossacks as part of European civilization, part of its history. I was 17 at the time, and I was childishly enthusiastic. I was all out to create something truly national and patriotic, so we decided on the Cossack project. The game was written by four of us, but we also launched several other projects, hoping that at least one would be a success. I remember another interesting fact. I thought that we had to change the name of the game, so it would sell well in Europe. So Cossack became European Wars. Much to my surprise, when the Germans were offered the game, they said, ‘No, that wasn’t what Europe would want.’ Cossack was. The word was as advertised there as vodka and Kalashnikov.

We all know about Ruslana winning the Eurovision song contest and the Klychko brothers’ spectacular bouts, but few people are aware that the computer game Cossack made the biggest Ukrainian breakthrough in Europe.

Hryhorovych: It is probably true of Ukraine, but the European edition of Playboy placed our Cossack game second two years ago, after Shevchenko, in the top ten of people and things celebrating Ukraine. In Europe our game was even ahead of the Klychko brothers.

But unlike Vitaly and Volodymyr Klychko, the Ukrainian Cossack game couldn’t conquer America after gaining such popularity in Europe.

Hryhorovych: After all, we have a European mentality and culture. People older than us, aged 35-40, enjoy playing Cossack and our other products because these are primarily intellectual games, like chess, where you don’t have any easy ways and moves. In America, the audience is younger and with an altogether different character; these people mostly prefer a simplified view of life, relationships, and even more so computer games. Of course, we can study this aspect and somehow get closer to their mentality, but won’t be able to wholly understand them. And so our Cossack sells twice as well in Europe as the most popular US WarCraft strategies. Further proof that we are a European nation.

How do you think Ukraine is placed in the current electronic entertainment industry?

Hryhorovych: Hard to say at the moment. It’s still not an industry in Ukraine. Unfortunately, we don’t have their Hollywood and its conveyor system. Compared to other countries, our games are developed and sold on a small scale — but in our case, we have launched our own production line. I’ll let you in on a little secret. The next game will be a fantasy-type one. I mean, we’ll develop our own game and sell it without any intermediaries. Now this is unprecedented in the world. If we can carry out this project, we’ll have access to revenues generated by European and world mega-producers and distributors of computer games. You see, today’s well-known publishers share their incomes with producers at an 80/20, even 90/10, ratio. We can’t accept this, especially since we have money, so we want to get out of this trap and become self-sufficient and independent. Then we’ll be able to collaborate directly with producers in all the post-Soviet countries. This way, Ukraine will soon become the world’s leader in the electronic entertainment industry. I think that Ukraine has every chance of ranking first in the world, precisely as a supplier of computer games and software, rather than machine building, for example, or pipe rolling. We have bona fide geniuses; we are an extremely intellectual nation, so we can reach the world level merely by relying on intellect and preventing brain drain.

In other words, you believe that, along with a market demand for Ukrainian programmers, there is also a demand for Ukrainian computer games and software that they have developed in this country, without going off to North America? That the emphasis is on domestic producers?

Hryhorovych: We must understand that Ukrainian programmers are not simply “ brains” that the West can purchase cheaply. Given some effort and attention to the IT industry in this country, we could just as successfully turn out finished products by relying on our own resources, and Ukraine would only benefit from this, in terms of budget returns and investments.

What do you think the Ukrainian state should do to achieve this?

Hryhorovych: First, laws should be enacted, which would offer tax concessions for the entire industry involving IT technologies. In the long run, it would be possible to consider a comprehensive national program aimed at developing this sector. If effectively implemented, the logical result would be the creation of an IT technopolis, a domestic version of Silicon Valley. Easing the tax burden even by several percent would allow national manufacturers to (a) lower prime costs, making their products available to a greater number of consumers, and (b) invest more effectively in their own development. Speaking of computer games, France, for example (with its electronic entertainment industry in the grip of a crisis), allocated four million euros in 2003 for the best French games of the year. Unfortunately, our businesspeople and politicians do not regard this industry as investment-worthy.

Have any financially powerful foreign competitors tried to buy your programmers, even the whole company?

Hryhorovych: Yes, they have, but we held the fort, and we are firm on our feet. We are not afraid of competition either. The latest statistics show that Electronic Arts (US) is willing to invest $20 million in Ukraine, to prevent their rival THG (slated to become the exclusive distributor of Ukraine’s super hit Stalker) from expanding on the PC games market, and thus elbowing out the Americans.

Could you provide some details about the story with Microsoft? About what happened nearly five years ago, when the Cossack game was released, and domestic and foreign media were writing extensively about four young people from Ukraine who tripped Bill Gates, so to speak?

Hryhorovych: Microsoft’s Age of Empires, Part I, was a world-famous game at one time. It was set in the period of antiquity. So, when the Americans proceeded to write the second part, with the setting in the Middle Ages, we instantly realized that our game should be set in the 16th-18th centuries, when Cossacks actually existed. Our game eventually became very popular and that’s how we denied Microsoft the opportunity to develop the third part, since no one would be interested in it, period. We were the first to occupy that market niche, so Microsoft had to take up Greek myths, which meant working on an altogether different project.

Besides being extremely popular, the Cossack game was innovative software that later became a world standard for developing computer games.

Hryhorovych: Let’s just say that our game was a success owing to three components. First, it was realistic, relying on historical verisimilitude; second, it was something essentially new in the computer-game process. Previously, the number of troops involved in such US games was restricted to a hundred men at the most. Now imagine a virtual medieval battlefield that should have thousands of knights fighting, from the historical standpoint, and you can only have a hundred. Our programmers allow our players to control thousands of men in combat. Third, and this is undoubtedly the national aspect, the Cossack game was Ukraine’s first program at this level, released in the Ukrainian language.

Your new game, Stalker, proved to be another world hit even before it became available. Once again a Ukrainian context, this time Chornobyl.

Hryhorovych: At first, we wanted to develop a program dealing with Sci-Fi wars, but then we decided to base it on a Strugatsky Brothers story. The word Cossack is well known in Europe, but practically everyone knows about Chornobyl, all over the world. We visited the nuclear power station twice, and we want to generate a setting for this game as virtually close to reality as absolutely possible — so that anyone playing on his PC will find himself in this atmosphere. I am sure the Stalker will be even more popular than the Cossack game. Many skeptics in the West said before that our success was just a stroke of luck; we’re sure that our Stalker will convince even America that Ukraine may soon rank among the world’s leading producers of computer games. Don’t forget that we’ll also have Cossack-2 ready soon, which, together with Stalker, will become a genuine Ukraine brand. But I must admit that this will mark the end of the Ukrainian theme in our games. Anyway, I don’t see any that would attract any interest in the West.

You have represented Ukraine at various international exhibits. Was there any special interest in Ukrainian [computer] games?

Hryhorovych: When we were taking part in E-3, the most prestigious computer technology exhibit, we saw crowds gathering around our stands; people’s eyes were glued to the monitors — and this considering that we were allocated exposition room on the less prestigious lower floor. Visitors said they found more interesting things to see there, than on the floor above, with its staggering displays of the world’s multimedia giants.

How would you compare the computer games developed in Russia with Ukrainian ones?

Hryhorovych: Our computer game industry is roughly three times stronger than Russia’s. Only one game turned out to be more or less marketable there: the IL-2 Low-flying Attack Aircraft, which broke even, selling 300,000 copies. In comparison, some 2,300,000 licensed Cossack copies were sold worldwide, despite the fact that the Russians began their project way before any such companies had emerged in Ukraine. At present, Russian programmers are concentrating on commissions from the West.

The Day has written about the WCG finals in Kyiv. You were there as a sponsor of players and teams. Was that a publicity stunt or something more important?

Hryhorovych: Our company people were among the contestants, but we also sponsor the most promising cybernauts, thereby supporting national cybernaut movement. Recently, we were granted the right to hold a European Cyber League championship in Ukraine. Our Cossack game will be one of the compulsory events.