Getting a job in the games design industry.

I have been scratching my head about how a excellent games design student gets into the games design industry itself?
How do developers recognise new talent?
Do they look at qualifications?
There seems to be no one answer.
Yes qualifications are important, but contacts are more important.
Experience is also very important.
However here comes the catch 22. How do you get experience if you need experience in order to get a job?
I hear this time after time from previous students I have taught.
So how do you get experience when you need experience in order to get the job?

Develop some games and get them out their. Is for me a better answer. Develop a game and publish it independently. Not cheap and you need money to get it out their.
Steam Greenlight is a good option its $100 initial cost and you can even charge for people to have your game. However who actually uses greenlight? I am a steam user and I have rarely used it. What image does greenlight have? I still think that as a first step it's a good idea.
Google Play : $25 one of fee + up $99 a year afterwards per app (game in our case). However issue here are there is massive fragmentation in the android market.

See this article about comparing them both,
Here is an excellent article by the guardian newspaper on this subject as well
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