External development is no longer just about outsourcing—it’s about building strategic, long-term partnerships that drive innovation and production stability. Emerging markets, such as Southeast Asia, have evolved beyond cost-efficient labor pools to become essential co-development partners in engineering, QA, and live operations. Studios that invest in long-term relationships with external teams in emerging regions are discovering firsthand that they can gain more than just efficiency—they gain creative and technical collaborators who contribute to product success.

This session will explore how vendors and buyers can transition from transactional outsourcing to sustainable co-production models in emerging regions, ensuring stability in an industry prone to disruption. We’ll discuss how service providers can offer strategic value beyond cost savings, the role of emerging markets in strengthening the XDEV ecosystem, and the future of co-development, including co-IP creation and deeper integration of external teams. Attendees will to assess their own XDEV strategies, debunk common misconceptions, and explore practical approaches to building high-impact, long-term partnerships in emerging regions.