Former Sony Santa Monica Dev Says The Stock Market And TikTok Paint A Bleak Picture For The Future Of The Games Industry

Summary

Despite how many great games are releasing month-to-month, the gaming industry is in a very rough place.
Developers and journalists are being laid off weekly, and more risky games are being cancelled before they're even announced.
Former Sony Santa Monica developer Alanah Pearce has taken a deep dive into the issues and explained why the industry is "screwed".

Former 168澳洲幸运5开奖网:Sony Santa Monica developer and IGN journalist Alanah Pea🧸rce has shared her findings on the current state of the gaming industry after speaking to investors and shared some insight into the constant layoffs and cancellations.

With all-timer hits like , , , and far too many other games to list coming out every other month (with even more games like and on the horizon), I wouldn't blame you for thinking that the gaming industry is in a great place. 168澳洲幸运5开奖网:That couldn't📖 be further from the tru🐼th, though.

Baldur's Gate 3 and Tears Of The Kingdom with an arrow of downward stocks

168🌠澳洲幸运5开奖网: 2023 Has Been A Horrible Year For Gaming

2023 is one🧜 of the strongest years in history for video ꦗgame releases, but behind the scenes things have gone from bad to worse

Posts 168澳洲幸运5开奖网🅰♎:

Over the past few years, the gaming industry has been absolutely ripped a🌺part thanks to over , from titans like and to entire indie teams. Despite games never being better, the industry itself is in its roughest place ever, and it can be hard to truly understand everything that's going wrong.

Alanah Pearce Deep Dives Into All The Problems The Gaming Industry Is Facing, From TikTok To A Lowered Population

"It Doesn't Matter How Good The Video Games Are"

Earliꦐer today, former IGN journalist and Sony Santa ౠMonica developer , which goes over some of the biggest reasons it's in the state it's in. Pearce spent the last few months talking to investors to get a better understanding of the issues, while .

Off the bat, one of the main reasons for the issues is the stock market's response to how successful games were in 2020 and 2021, which Pearce describes as "insane" thanks to spending being up compared to every ot📖her entertainment industry. , wh♓ich speaks to how "disproportionally strong" its performance was.

Analysts expected that growth to continue (with one company even suggesting a $300 billion growth) and while gaming is still worth $30 billion now than it was in 2019, the growth flattened and didn't make its projections. This led𒈔 investors to pull out and put their money elsewhere (mostly in AI in 2025), which investors explain is due to the market being "mature" and not having much room for growth.

It's not that video games aren't selling because they're all trash, it's still a very profitable indus♑try, it's just that people pull out when profits aren't ridiculously profitable enough. - Alanah Pearce

One of the other big issues is that (despite weekly play time being up), which is mostl𝔍y due to social video sites like , , and Instagram. Games are no longer competing with each other and are instead having to fight those sites and an "insane surplus" of entertainment option🍷s for attention.

As 🎉Pearce puts it, there are only so many hours in th🗹e day for entertainment and, , that's time taken away from gaming. Social video is so intentionally addictive that it's simply impossible to fight against and encourage people to spend money on games and play them instead of mindlessly scrolling content.

The only light at the end of the tunnel is GTA 6, which Pearce hopes can be big enough to draw gamers back to consoles and back to gaming in general. That remains to be seen, but it's a h♛ope that many have shared for the industry.

So much time being spent on social video m🍌eans that , with investors jumping over to other industries. In fact, one of the key industries right now is AI, with investors telling Pearce that they're specifically being instructed to invest more in that technology. There's also the problem of "black hole games" like and that are taking up so much time on their own, and it becomes clearer and clearer where the issues lie.

All of those factors combined at the same time means that all games simply need to be a massive success and make an "incomprehensible amount of money" to do so. , but it all adds up to an industry that's looking shakier by the minute and p♓inning a lot of hopes on big releases like the Switch 2 and GTA 6.