Gaming industry booming in Austin

AUSTIN (KXAN) - A major gaming company in Austin recently lost nearly 80 positions -- nearly half of its workforce.

Vigil Games held a job fair last week for those laid-off workers in hopes of placing them with other companies. According to a new report, that might be easier that you think.

Local gaming companies take notice when one of their competitors starts to downsize. But Fred Howard with KingsIsle said it does not necessarily mean it is a troubling trend.

"Never like to see this type of thing happen, but it certainly does happen." Fred Howard, vice president of marketing with KingsIsle Gaming . "They'll bring in a large staff of people to push out a property with a particular launch date. Once that launch is achieved, quite often what happens is that there are folks who are no longer needed in that particular project and, sometimes that means, no longer needed at that particular company."

"I think the city is doing a great job when it comes to the creative industries," Stephen Kreher, director of economic development with the Austin Chamber of Commerce .

Kreher referenced a recent report presented to the city of Austin on the local creative sector's success from 2005 to 2010.

In that time, the gaming industry has grown 155 percent to become the third largest gaming workforce in the nation, right behind Los Angeles and San Francisco. Austin now has more than 250 gaming companies.

“Right now, we have several companies who will probably be relocated or expanded to Austin in the next few months, which is really good. So hopefully, that will provide some job opportunities for those folks,” said Kreher.

So Howard said one company laying off workers should not be such a concern. For him, it is the competition coming into town.

"I see this part of the industry continue to explode,” Howard.

The Austin Chamber said one of the reasons the city has seen so much success in the creative sector is because there is so much crossover talent between the industries. The creative collaboration has spawned opportunities for growth and even more talent.