Game Industry
Ongoing coverage on Game Industry.
Latest coverage
Xbox Game Pass failed to hit subscriber targets because most people don't play lots of games, says analyst, and going indie won't save it: "I don't see a solution"
Industry analyst Mat Piscatella suggests that Xbox Game Pass failed to meet subscriber targets primarily because the average consumer does not play many games. He argues that focusing on indie titles would further alienate the mainstream audience and worsen the service's outlook. Piscatella believes that the subscription model itself faces significant challenges in the current market, stating he sees no viable solution for Game Pass's struggles.
Sunday Interviews
Former PlayStation executive Shawn Layden expressed a desire to revitalize the "double-A" game development space. He believes this tier of games is crucial for the industry's health and has a plan to bring it back.
Kids don’t like video games and that’s a massive problem - Reader's Feature
A reader expresses concern that children are not developing a healthy relationship with video games, often preferring mobile titles like Roblox and Minecraft over traditional console games. The author argues that parents' lack of engagement and introduction to age-appropriate titles leads children to associate gaming with low-rent, free-to-play experiences, potentially harming the future of the industry. This trend is seen as a contributing factor to publishers' focus on live service games over single-player experiences.
Resident Evil 4 is best-selling modern remake but the top 5 is surprising
Resident Evil 4 is the best-selling modern remake, selling approximately 16.8 million copies. The analysis, based on data from 2020 onwards, reveals a surprising top five including Ark: Survival Ascended and The Last of Us Part I, with Final Fantasy 7 Rebirth and Silent Hill 2 also performing well. Nintendo's Shigeru Miyamoto defended the prevalence of remakes, viewing them as a way to introduce older titles to new audiences and pave the way for future developments.
If PlayStation kills physical media, it should "get rid of the hardware" too, says the creator of popular RPG series Disgaea
Sohei Niikawa, the creator of the Disgaea series, expressed strong disapproval of Sony's decision to move away from physical media production. He argued that if Sony is eliminating physical games, they should also consider eliminating hardware, suggesting a television would suffice. Niikawa shared these views during an interview at Anime Expo 2026, where he was promoting his new strategy RPG, Demons' Night Fever, set for release in 2026 on PlayStation 5, Nintendo Switch, and PC.
Games Inbox: Which is better out of Cyberpunk 2077 and The Witcher 3?
Readers debate whether Cyberpunk 2077 or The Witcher 3: Wild Hunt is the superior game, with many favoring The Witcher 3 for its story and characters. Discussions also touch upon the longevity of digital versus physical game sales, the unique economy of Counter-Strike skins, and concerns about Nintendo's recent game releases and pricing strategies.
The Biggest Critics Of Xbox Game Pass May Be Inside Xbox
Internal criticism within Xbox suggests that Xbox Game Pass has devalued games and negatively impacted the industry, with some leaders viewing it as a detriment. Despite its initial promise, the subscription service has faced challenges including price increases and shifting tiers, with even its own leaders questioning its success and impact on major franchises like Call of Duty.
Game Pass Was A Good Idea But It Didn’t Work, Forza Horizon 5 Creative Director Says
Forza Horizon 5 creative director Mike Brown stated that Xbox Game Pass, while a good idea, failed to attract enough subscribers to be a viable business model, contributing to current struggles at Xbox. He expressed sadness over potential studio closures and job losses resulting from the service not meeting expectations, despite significant investment from Microsoft. Brown believes changes are coming to Game Pass, such as delaying the inclusion of new major titles to maximize initial sales.
Fallout 5, Remasters and New Games Confirmed, But Can They Save Bethesda?
Bethesda has outlined its future game development plans, confirming Fallout 5 is in pre-production and remasters of Fallout 3 and Fallout: New Vegas are coming. The Elder Scrolls 6 remains the primary focus, with Starfield set to receive ongoing updates and new content. The studio also addressed recent layoffs and fan concerns about its direction.
Comings and Goings
Several companies within the game industry are experiencing significant staff changes. Bungie's Marathon Game Director has departed during a turbulent period for the studio, while ZA-UM Studios is reportedly laying off up to 32 employees. UKIE reports that 22% of the UK games industry workforce has been affected by job losses.
Layoffs might offer "better short-term financial results," late Nintendo president Satoru Iwata admitted in 2013, but "employees who fear that they may be laid off" will never produce the same results
Late Nintendo president Satoru Iwata believed that while layoffs might offer short-term financial gains, they negatively impact employee morale and the ability to create impactful games. He famously took a 50% salary cut in 2011 and avoided layoffs during financial lows, emphasizing long-term business strength through employee contributions and efficiency rather than workforce reduction.
"How Ubisoft and Embracer leadership aren't in prison absolutely eludes me": Helldivers 2 studio QA manager laments "darkest timeline" as layoffs hurt thousands
Arrowhead Game Studios QA manager Dave Gallacher criticizes the current state of the video game industry, highlighting massive layoffs at companies like Xbox, Ubisoft, and Embracer Group. He expresses frustration with corporate greed and the perceived misuse of funds, particularly concerning the rise of AI in game development. Gallacher laments the "darkest timeline" for developers, while acknowledging his own complex feelings about the industry despite the ongoing turmoil.
id Software producer says 'you'll never get another WoW or Morrowind in the current climate' in the wake…
id Software producer Andrew Willis believes the current climate prevents the creation of long-lasting franchises like World of Warcraft or Morrowind, attributing this to large publishers and a lack of understanding from executives. He advocates for developer-owned studios as the path forward for sustainable growth and artistic integrity in the gaming industry, contrasting this with Xbox's stated goals of returning to growth through further layoffs.
After "incomprehensible" Xbox layoffs, id Software producer says worker-owned studios are "the only path…
id Software producer Andrew Willis criticized Microsoft's recent Xbox layoffs, calling them an "incomprehensible decision" and suggesting that worker-owned studios are the only viable path forward for the game industry. Willis, who was involved in id Software's unionization efforts, believes that large publishers have proven to be poor stewards of the industry and that value should be owned by those who create it.
Business and Finance
An analyst predicts a 19.5% decline in game console shipments for 2026, reaching 33.9 million units. Separately, Ubisoft has dropped its claim that monetization makes games more fun, indicating a shift in industry perspective.
Podd-dags - Kontrollrummet intervjuar A Void Hope-skaparen
Mikael Forslind, creator of A Void Hope and founder of Elden Pixels, discusses his journey in game development and how fatherhood has influenced his work. The interview touches on his early experiences with computers in the 80s and 90s and the personal narrative behind A Void Hope.
Welcome to ExDev Week
This week-long feature on GamesIndustry.biz explores the present and future of external development in the games industry. It highlights the role of external studios in creating major games and discusses themes such as balancing work-for-hire with original IP creation and building client trust. The analysis also considers external development as a potentially more sustainable alternative to large internal teams amidst industry transformation and job losses.
Chirstopher Nolan celebrates Backrooms' success, believes younger generations are rejecting AI: 'Their judgement of AI slop has been immediate and harsh'
Director Christopher Nolan believes younger generations are actively rejecting AI-generated content, particularly in filmmaking, seeing it as "AI slop." He contrasts this with the success of indie horror films like "Backrooms" and "Obsession," which prioritize practical effects and tactile storytelling. Nolan suggests this rejection of AI is a reaction against overly virtual environments and a renewed interest in more tangible creative methods.
Warframe lead Rebecca Ford says Destiny 2's death is "horrible news" for everyone: "Not the first time it's happened, and it'll happen again"
Warframe's creative director Rebecca Ford expressed concern over the halt of active development for Destiny 2, viewing it as a negative sign for the live-service game industry. She highlighted how business decisions can override developer passion, even for established titles. Ford also touched upon the broader industry anxieties surrounding layoffs and studio closures, referencing the impact on games like The Elder Scrolls 6.
"Sony waited for Rockstar to make the first move": Founding Xbox member warns against PlayStation's all-digital future, says "I trust" Steam games won't just disappear
Industry veteran Laura Fryer, a founding member of the original Xbox, warns about the risks of an all-digital future for gaming, citing PlayStation's move away from physical discs. She shares a personal anecdote about losing hundreds of dollars in Rock Band songs due to delisting, highlighting the impermanence of digital ownership and the potential loss of the second-hand market. Fryer suggests Sony is waiting for major releases like Grand Theft Auto 6 to normalize digital-only sales before fully committing.
