Just recently, gaming giant Activision announced it was laying off an astonishing 800 employees from its nearly 10,000-strong workforce. Normally a mass layoff like this follows news of falling profits, but Activision’s 2018 financial results were in fact, by its former CEO’s own admission, “the best in our history”.
The news came as a bit of a bombshell in the gaming industry, but over the last 10 years, mass layoffs like this one have been happening to many high profile publishers and developers at an alarming rate. Pandemic, Visceral Games, Maxis, Telltale, Boss Key, and Capcom Vancouver are some high profile names that have experienced closures despite producing well-received titles, most of which were profitable. It’s a symptom of a major shift in the gaming industry, which has expanded into a multi-billion dollar industry in a single generation, from one of ideas and passionate individuals into something that veteran gamers like myself barely recognize anymore.
I’m old enough to remember the days when games were made by small studios that were driven more by a passion for new ideas and games that were fun. These were the days of id Software, Ion Storm, Westwood Studios, Pandemic, Raven Software, and pre-Dota 2 Valve. Many of the games that came from that generation, starting from 1996 to around 2007, have aged extraordinarily well and hold their ground even by today’s standards. Think Red Alert, Deus Ex, Rainbow Six, Half Life, StarCraft, Far Cry, Fallout, and Jagged Alliance. There are still studios that passionately make games like these today, such as IO Interactive (Hitman), 4A Games (Metro), Harebrained Schemes (Shadowrun) and CD Projekt (The Witcher), but unlike the good old days, they do so under a dire climate in which one’s employment and livelihood is but one mediocre game away from termination.
The demand for quality games is extraordinarily high today, and there is simply no room for error if you’re working on medium-to-high budget title. Unfortunately, because of the incredible rate at which the gaming industry has expanded, there is a serious lack of wisdom on the part of publishers when it comes to long term planning with their IPs and protecting the employees that work under them. In two recent examples, newly hired employees at Telltale Games and Activision showed up to work on their first days, only to be told that they were being laid off (!). In any major industry, this would be grounds for legal action. In the gaming industry, it’s just “shit happens”.
The threat of Free-to-Play games is another factor influencing the lack of good judgement in the industry. F2P games used to be the domain of the East, with a grocery list of gacha-based titles produced in China, Korea and Japan for their respective audiences. The West had its traditional Buy-to-Play model, and the East had Free-to-Play. However, the release of Epic Games’ Fortnite, EA Games’ Apex Legends, and the advent of Lootboxes in Buy-to-Play games like Star Wars Battlefront and Call of Duty: World War II has changed the calculus considerably in the West. It used to be that Free-to-Play games were shunned in the West because they were shoddily made, emphasizing freemium gameplay design over tasteful aesthetics and tight gameplay mechanics. Fortnite and Apex Legends have shown that you can, in fact, have a well polished, well balanced game that is Free-to-Play.
What does this all mean for the industry? It means that those who work in the trenches will be caught in the crossfire, as the industry as whole, while still trying to adapt to its rapid growing pains, is now faced with another gargantuan change in direction. It very certainly means more layoffs, as major publishers will look to do more with less as the incentive for profit is driven to insane heights thanks to inroads being made in China. Finally and most importantly, it means the industry will be moving towards transforming the very idea of gaming from one of narrative, player agency and immersion, into a perpetual service in which both developers and players engage in the same title indefinitely, sinking money and time into it. One thing I learned studying videogames in college: games are supposed to end.
Where I see hope for the industry to hang onto its original principles is in Europe. Some of my favorite games to come out recently have been from Europe, such as The Witcher 3 (Poland), Metro Exodus (Ukraine), Quantum Break (Finland), Hitman 2 (Denmark) Kingdom Come: Deliverance (Czech Republic), Alien: Isolation (United Kingdom), and Wolfenstein: The New Order (Sweden). The Europeans have always had a more holistic approach to entertainment media, and the same goes for Japan, which also is having a bit of a resurgence in the industry thanks to Capcom (Resident Evil) and Namco Bandai (Dark Souls). Then there’s the bevy of independent game studios turning away from major publishers and using Kickstarter and Steam Early Access to fund passionate and innovative titles (Divinity: Original Sin, FTL, Kerbal Space Program, Battletech).
The way I see it, gamers like myself who have been playing games since before the 2000s have to be more proactive in supporting the kinds of games we want to see. There’s nothing we can do to stop the tide of mass-marketed shit that’s being churned out every month, but we can most certainly use our wallets to support the ideas and the people in the gaming industry who genuinely love what they do and, like us, know what truly makes a great game.



