STUDENTS working on a sports robot fighting game for the Xbox One are hoping to help reboot the city's reputation for developing computer games.
Seven University of Derby undergraduates have set up Deco Digital and made it on to a select list of developers for Microsoft's latest entertainment console.
Joe Brammer, soon to graduate with a degree in computer games modelling and animation, has high hopes for the project.
When the game gets its global release towards the end of this year, he expects that it will be downloaded at least 200,000 times.
It is likely to cost gamers between £5 and £12. After Microsoft takes a cut, the revenues will allow Deco Digital to both pay salaries to the seven people working on the project, fund a follow-up game and grow the business.
Deco Digital has a 10-year plan to develop a gaming empire with as many as 200 employees and put the city back on the global gaming map.
It got on to the Xbox One project via a scheme called ID@Xbox which gives independent games developers an opportunity to work on the platform.
Mr Brammer said: "There are some big names on the list and it gave us a boost to see we were there alongside Crytek and HB Studios.
"At the moment we are surviving with what's left of our student loans and sharing office space with Bevel Studios who are also graduates of Derby Uni. The game will be available before Christmas 2014 and we're sure that it will be successful as we're really pleased with it so far."
The team chose to study at the University of Derby because of the proximity to Eurocom, the Ashbourne Road firm that developed James Bond and Pirates of the Caribbean games.
It was placed in administration in December 2012 with former directors setting up Eight Pixels Square, a much smaller operation.
Mr Brammer said: "Eurocom went bust in our first year at university, which was disappointing because it would have been a place for us to work after university.
"We all like the city and want to rekindle Derby's talent for gaming knowledge."
The group of friends are also filming the various stages of the project in order to put together a documentary about their journey from students to tech entrepreneurs. On Monday, the company is launching a Kickstarter campaign to raise £2,500 to produce the documentary. This is a form of crowd funding whereby supporters can pledge donations to contribute to the project.
Mr Brammer said: "The film will document the next six months as the game is developed and, whether the game is successful or not, it will show people what we do and how we do it."