Question is for pro and indie developers. Is in better to incorporate in Texas or in Delaware? What advantages/disadvantages? What legal entity is better LLC or S-corp? Is there some specific options for game dev studios?? I am asking question here because alot of lawers in San Antonio deal with retail business. It's very different from game studio. Should I go hard way and learn about all that stuff from somewhere (where?) and incorporate by myself? Or can regular lawer help me? Which is the cheapest way/right way? Thanks!

You should only ask for legal advice from a legal professional licensed to practice in your state. You can ask for corporate advice (which incorporation might be part of) from a CPA (accountant); they're usually cheaper than lawyers, and you probably want one to help you with taxes anyway.

That being said, when I lived in Texas, I incorporated in Texas, using a C corporation. If I had to incorporate again, I would incorporate in the state I live (because it's easier), and I would go with S corporation, because the tax situation of an S corporation is more advantageous for me than a C corporation, especially if I want to take money out of the business.

There are lots of important legal issues that you need to consider when seting up a developer. Incorporation is just one of them (and in the long term not one of the more important ones). I suggest talking to a local lawyer/accountant about setting up the company but also talking to a specialist game industry lawyer - I know of three in the US (details at http://obscure.co.uk/directory_legal.shtml) but I am sure there are others.

In addition to the start-up issues you need to sort out employment/contractor contracts, IP assignment/ownership agreements, directors agreements (if there is more than one director) etc.