Who really wins?
MONEY delves into the SiGMA conference, a marquee event touted as a boon for Malta's economy. But as residents endure gridlocked streets and disrupted routines, we ask: does this event serve the "greater good," or is it a spectacle benefiting the gaming elite at the public's expense?
Every November, Malta becomes a hub for the global gaming and tech industries as the SiGMA Conference rolls into town. Branded as the "World's Gaming Festival," SiGMA draws thousands of delegates, industry leaders, and investors to our small island, promising innovation, economic benefits, and international recognition. But as the dust settles after yet another jam-packed week of panels, networking events, and extravagant parties, it's worth asking: who truly benefits from this spectacle?
Beyond the glossy promotional videos and celebratory social media posts, the reality is far more complex. While the gaming industry undoubtedly reaps the rewards, the average Maltese citizen is left wondering what they've gained—apart from disrupted traffic and a series of tone-deaf posts from SiGMA organisers urging them to accept the chaos as a necessary evil for the "greater good."
Economic boost or concentrated gains?
SiGMA's organisers proudly tout the conference's role in boosting the local economy. And indeed, the numbers seem impressive. In 2024 alone, SiGMA Europe was projected to contribute over €100 million to Malta's tourism revenue—around 3.3% of the national total. This translates into a significant boost for the hospitality sector, with luxury hotels and restaurants in areas like St Julian's experiencing a surge in business. In 2022, international visitors occupied over 60% of Malta's top-tier hotels during the event, a notable increase from the usual 40% occupancy in November.
Furthermore, an impact assessment by E-Cubed Consultants revealed that SiGMA's 2019 event generated enough economic activity to sustain the equivalent of 950 full-time jobs for one year. These benefits extended beyond gaming, positively affecting retail, leisure, and manufacturing sectors.
On paper, these figures are impressive. However, a closer look reveals that these benefits are far from evenly distributed. While five-star establishments and high-end service providers see a windfall, smaller businesses report minimal impact, particularly those outside the conference's orbit. Additionally, a significant portion of the revenue generated by international companies during the conference is repatriated, limiting the longer-term benefits to Malta's economy.
Who bears the brunt of SiGMA's success?
While the gaming industry and a handful of related sectors toast their success, the rest of Malta deals with the fallout. Traffic, already a perennial issue in the country, reaches nightmarish levels during SiGMA week. Main roads are closed, detours become the norm, and commutes double or even triple in length. Parents struggle to get their kids to school, workers arrive late, and emergency services face delays that could have life-threatening consequences.
In 2023, the conference's relocation to the Mediterranean Maritime Hub in Marsa exacerbated these issues, leading to widespread gridlock across central Malta. Despite these challenges, the response from SiGMA's organisers has often felt dismissive. Social media posts urging residents to "embrace the bigger picture" or "put Malta on the map" offer little solace to those stuck in hours-long traffic jams.
To their credit, SiGMA has acknowledged these disruptions. In 2023, founder Eman Pulis publicly apologised for the traffic chaos and vowed to implement changes. By 2024, Transport Malta introduced several measures to mitigate the impact, including geofencing around the event venue and designated pick-up points for transport services. While these steps showed a willingness to adapt, their effectiveness remains debatable.
A public-private imbalance
The SiGMA conference also highlights a deeper issue: the growing imbalance between public inconvenience and private gain. The Maltese government, keen to position the country as a hub for gaming and tech, provides significant support for SiGMA, including logistical assistance, public resources, and promotional backing.
Yet, for all this public investment, the returns seem heavily skewed toward private entities. The gaming industry, which already enjoys favourable tax rates and regulatory conditions in Malta, gets an unparalleled platform to showcase its offerings and expand its networks. In contrast, the public bears the cost—both in terms of tangible disruptions and intangible frustrations.
This imbalance raises essential questions about accountability and fairness. Shouldn't an event that relies so heavily on public resources also deliver clear and measurable benefits to the broader population? While SiGMA has demonstrated its commitment to philanthropy through initiatives like its anniversary auction, which raised €186,000 for charity in 2024, the beneficiaries were international organisations rather than Maltese causes. This highlights an essential gap in the event's impact on the local community.
For an event that draws so much from Malta's infrastructure and goodwill, a more substantial commitment to local contributions is overdue. Establishing a dedicated local arm for charitable initiatives—whether through funding NGOs, supporting educational programmes, or investing in community projects—would balance the scales and build goodwill among residents. A more generous approach to giving back locally could help SiGMA foster a stronger connection with the people of Malta, ensuring that its success translates into tangible benefits for the island.
The social media disconnect
Perhaps SiGMA's most frustrating aspect is how its organisers communicate with the public. Their social media accounts are filled with posts celebrating the conference's success throughout the week. They highlight record-breaking attendance figures, showcase glamorous after-parties, and share testimonials from industry leaders about the event's importance.
But amidst all this self-congratulation, there's a glaring omission: any meaningful acknowledgement of the impact on residents. The occasional posts that do address the disruption come across as patronising. Phrases like "Thank you for your patience as we drive Malta forward" do little to ease the frustration of someone stuck in gridlock or trying to navigate blocked-off roads.
SiGMA has shown a willingness to learn from past mistakes to their credit. Starting in 2025, the event's organisers will split their European events in a significant shift. The traditional November SiGMA Europe conference in Malta will be rebranded as SiGMA Euro-Med and moved to September, before the school term begins, aiming to avoid the peak traffic period and improve the experience for both attendees and residents. Meanwhile, SiGMA Europe will relocate to Milan in November, tapping into one of Europe's most promising gaming markets.
This strategic decision reflects a proactive approach to balancing residents' needs with the event's growth and logistical requirements. It also addresses previous concerns about disruptions caused by hosting the event in November.
Is SiGMA still worth it?
This leads to a crucial question: is SiGMA still worth the disruption it causes? For the gaming industry, the answer is undoubtedly yes. The conference provides an invaluable platform for networking, deal-making, and brand-building. It reinforces Malta's position as a key player in the global gaming ecosystem and attracts new business to our shores.
But for the rest of us, the answer is far less clear. While the conference brings some economic benefits, these are primarily concentrated in a few sectors and do little to improve the day-to-day lives of most Maltese citizens. The traffic chaos, coupled with the dismissive attitude of the organisers, only adds to the growing sense of frustration and disillusionment.
What needs to change?
If SiGMA is to maintain its place in Malta's annual calendar, it must evolve. First and foremost, its organisers must recognise residents' legitimate concerns and take meaningful steps to address them. This could include better traffic management plans, more transparent communication, and a more respectful tone in public messaging.
Secondly, the government must ensure that SiGMA's benefits are more evenly distributed. This could involve more significant investment in community projects funded by the conference's revenues or policies encouraging gaming companies to contribute more directly to the local economy.
Finally, there needs to be a broader conversation about Malta's priorities. While the gaming industry is undoubtedly important, it shouldn't be allowed to dominate our national agenda at the expense of other sectors and the well-being of our citizens.
SiGMA may be a marquee event for the gaming industry, but its impact on Malta is far more mixed. While a select few reap significant rewards, the rest of us are left to deal with the disruption and wonder what, if anything, we're getting in return. If SiGMA truly wants to benefit Malta, its organisers and supporters must consider its broader impact and make the necessary changes. The planned restructuring of the event is a step in the right direction, but only time will tell if it's enough to address the underlying issues.
