HERE'S a bit of philosophy that is worth tens of millions of pounds.... Life is but a game.

It is the maxim which amid crashes and boings, jaunty jingles and fusillades of machine gun bullets has powered two philosophy graduates from the University of York to a fortune.

Between lectures Stephen Hall and Julian Gladwin were addicted to video games, but noted that there were difficulties finding retailers to buy the software.

The thought fathered the deed of setting up Gamestation in a small, short-licensed Christmas time store in Gillygate, York, in September, 1993, with the help of a loan and grant from the Prince's Youth Business Trust - and guess what?

As enthusiasm for the-then trendy Sonic the Hedgehog and Mario became almost manic, the little venture boomed, spurred also by an article which appeared about them in the Evening Press.

Soon they transferred to more permanent premises in Gillygate, opened a branch in Leeds, then in quick succession branches in Bradford, Hull and Leicester, and as they continually ploughed profits back into the venture the empire grew...

Last Saturday in Swansea the two men opened their 47th store. This year turnover stood at about £33.5 million. By next April, when a further 19 stores will have opened, £58 million is projected.

With another 100 people expected to swell the existing 350 on the payroll by next year, their philosophic whim has turned into the biggest privately-owned video and computer games specialist in the country.

It is all masterminded by Stephen and Julian, from a huge, modern purpose-built block of warehousing and offices in Amy Johnson Way, Clifton Moor which they rent for £100,000 a year.

It is buzzing with the activity of supplying all its branches, each with an average of 1,500 lines, feeding the growing frenzy for the likes of Metal Gear Solid 2 (the latest best-selling Playstation 2 product) and Tiger Woods PGA Tour to Gran Turismo 3 and Shrek; plus catering for increasing demand for the Gamestation mail order operation launched two years ago.

And still it's not room enough. Even now, builders are busily adding 3,500 sq ft to the existing 11,500 sq ft to give more warehouse and office accommodation.

Both men seem to have it all - film star looks, beautiful homes, posh cars, but this is by no means the only purpose of the game... They enjoy the challenge of keeping pace with the changes in the market and computer gaming technology, but only very occasionally look back on the good old days.

They hardly need to. They are surrounded by huge promotional three-dimensional screen all-action icons of today's games, including gun-totin' video-heroine Lara Croft and unnerving shotgun-wielding statues of Ash from Evil Dead and Snake from Metal Gear Solid 2

Although the two founders are in 50-50 partnership, Julian recognises Stephen's managerial talents. "He's much more entrepreneurial than I am. I have always been a hard worker. I used to work in retail, selling jeans and in the service sector like restaurants and pubs to finance myself through uni. I enjoyed dealing with customers," he says.

Stephen, who spends much of his time fostering the business in London - hence a home in Camden - once dallied with the notion of becoming an insurance underwriter and both men travelled extensively before going to university.

Now he is absorbed in the growth of his industry. "We're expanding rapidly because there's a lot more grist to this mill. As soon as any of our stores open they tend to trade well, paying back opening costs within six months."

Julian, aged 39, is six years older than Stephen - "I was a mature student," he says - and unlike Stephen he is married. He and his wife, Ruth, live in Huntington Road, York, and have four children, Ellen, eight, Sam, seven, Millie, four, and Rachel, two. "I learn a lot from Sam, who loves his games, particularly Pokmon," says Julian.

But both admit to not playing games as avidly as they used to. Julian says: "It's the same as a chef with food. At first we were like kids in a sweetshop, but the novelty wears off after a while."

Biggest rival is Electronics Boutique, a quoted company trading from more than 330 outlets, but neither of the two men has any intention to float their company. "We can never be an operation of that size although we should be able to increase significantly, "says Stephen. "And why float? We don't have the burden of answering to shareholders or the City. Julian and I have 100 per cent of the equity and although we are growing still have the flexibility of a small and dynamic company."

So what is their favourite product of all time? They confer then reveal: "Mario World by Supernintendo. Mario is now a classic on the Gameboy Advance system which is still selling well."

Good game, good game.

Updated: 09:31 Tuesday, April 23, 2002