CNC Aid (National Cinematographic Centre)

www.cnc.fr

The F.A.E.M. (The Aid Fund for Multimedia Publications)
This fund is available for supporting productions circulated on the Internet, on CD-Rom, or on CD-Rom's that have particularly innovative editorial approaches, technology choices and economic models..

Four types of aid can be granted
after the decision of a committee:

	Aid for the model: The aid for the model of innovative editorial projects on all supports, both on and off-line can be granted to commercial companies registered under French law, to enable them to develop and structure their projects. This grant cannot exceed 50% of the cost of the project and will be in the range of 4000 to 15,000 €.
	Pre-production aid for video games: In 2003, a particular effort was made in the pre-production of video games. Specific aid is available for production companies of video games to produce a playable model before a contract with an editor is signed. The aid is granted in the form of a loan, which is to be repaid in full if the project is successful. An agreement is signed by the company with the editor who is to produce the game. The aid is limited to 40% of the pre-production costs. The terms and conditions of the support and eligibility criteria of projects will be specified when applications for specific projects are invited.
	Aid for production The aid is granted in the form of loans that are to be repaid in full. It cannot not exceed 30 % of the production costs, although projects that are particularly innovative and risky, can receive up to 50% of the production costs. The sum can include the costs of localisation. The aid can be linked to a distribution contract. Every aid package is the subject of an agreement between the recipient and the CNC that stipulates the rights and obligations of the company, and defines repayment terms. There is a one-year time limit in which the agreement must be signed, after which the right to aid is no longer valid. Once the agreement is signed, the product must be produced within one year. An exceptional derogation of one year maximum can be granted by the CNC. Repayment of the loan will start one year after the final aid payment is made, following proof that the programme has been carried out according to a schedule established by the CNC. This repayment has to be made in fixed terms and amounts, independent of the returns generated by the commercial exploitation of the programme. In exceptional circumstances, the recipients who believe that the assisted project is a commercial failure can request a partial exemption from repayment. Requests for exemption from repayment will be examined by the CNC. The exemptions that are granted cannot exceed 80% of the initial repayment and will be the subject of a decision by the Director-General of the CNC, after agreement from the Ministry delegated to Industry.
	Aid for projects with a collective character The request can be made by the organiser, a company, or an association. Suitable projects are those that aim to organise seminars, study days, professional days and festivals, with a multimedia publishing theme. They must also fit the intervention criteria of the FAEM. The committee judges the advantages of the events proposed on a case-by-case basis. Priorities are suggested for the use of the financial budget available for these types of activities. The grants cannot exceed 50% of the quote submitted for the assisted project.

Selection methods and criteria

The Committee of the FAEM, according to the following criteria, will evaluate the projects:

	creativity of the scenario, game design, universe created, possibilities of intervention by players in the universe or exchanges between the players;
	commercial potential;
	originality of the game in relation to existing ones;
	ability and skills of the team to successfully manage the project.

Eligibility conditions

Projects must meet the following conditions:

	to be led by the company initiating the project, who also guarantees that pre-production will be followed through;
	develop an original concept, whereby the company is entitled to the rights, or to reinforce a licence previously created by the company;
	localise pre-production expenses on French territory;
	to be lodged before the playable model is finalised and before a contract with an editor is signed.

Games of a violent or pornographic character are automatically excluded.



Amount of aid and payment methods:

The amount of aid will vary according to the nature of the project and the request. The maximum aid limit is 40% of the total pre-production expenses and will be the subject of an agreement between the assisted company and the CNC.
A first payment corresponding to 70% of the aid will be anticipated and activated when the agreement is signed. The final payment will be paid after proof that the playable model is finalised, in a timeframe that will be specified in each agreement.




Repayment terms and conditions:

Aid granted will be in the form of loans that are to be repaid in full.

Full repayment is to be made in the 12 months following the signing of the publishing contract.

In the situation where the project does not materialise after the publishing contract has been signed in France or abroad, the recipient can request that the total debt is written-off. This request will be the subject of a specific application proving that the project has been abandoned. It will be examined by the FAEM committee.

www.anvar.fr

France is now the fifth largest market for video games, an industry that has rapidly expanded in the last two years. European companies have to resist and adapt to tough competition from large-scale American and Japanese console manufacturers. The market for mobile telephone content is a new development axis. The French government has just decided to support this sector, made up of fledgling companies and small businesses. During the last six years, the ANVAR has supported 60 innovations in this sector.

Development studios for video games are eligible for an "Innovation Plan" when they can prove that at least 15% of their expenses go towards research and development.

ANVAR, like the RIAM (the Audiovisual and Multimedia Innovation network), which integrates the themes of video games, reinforces its involvement in the sector, where innovative techniques are used.

· For more information:

- http://www.telecom.gouv.fr/programmes/jeuxvideo.htm
- http://www.cnc.fr