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Decentralised model key to creativity, says THQ CEO

Farrell believes the decentralised model gives THQ a competitive advantage on owned IP

THQ CEO Brian Farrell reiterated his companies strong belief in the decentralised model when it comes to game development.

Speaking to investors at the 28th Annual William Blair Growth Stock Conference, Farrell first emphasised that the company had very strong studio mangers in place with "very tight budgets and schedules and very tight oversight on them."

"We believe strongly in the decentralised model because this is a creative business," he said, noting that one of their large competitors can be seen moving to that model.

"For things like sports franchises or even WWE - larger studios that are iterating annually - that's more of a production facility. But when you are doing owned IP, having those creative 'pods' like we built we think is a point of difference and actually a competitive advantage."

Farrell said that the model is not without its risks, but works if managed properly.

"This is a creative business, and having those creative people in a creative environment, fostering that creativity, is very important to us," he said.

"We do have a very, very disciplined greenlight model now - a staged greenlight model, so you have to pass different gates in that model.

"So, we simply have the management structure and the processes in place to manage it, and we do believe strongly in the decentralised model. We think that's the key to creativity."

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Mark Androvich