Are the industry layoffs due to prior overhiring, or the AAA bubble bursting?

[Box]

Nothing is bursting except the nuts of some execs. Instead of lowering salaries at the top, the bois at the top are cutting people at the bottom. The very same people you need to turn your whole enterprise into a profit.

Nothing is bursting except the nuts of some execs. Instead of lowering salaries at the top, the bois at the top are cutting people at the bottom. The very same people you need to turn your whole enterprise into a profit.

Layoffs are happening to maximize profits and boast to shareholders that don't do any work in the company itself so they keep investing because we made an economy that revolves around them rather than workers for some reason.

 

[Killer_Sakoman]

So gaming started to suffer the same fate of every mature industry. Execs make more money and employees paying the check.

 

[Deleted member 223]

Margins drive big pubs. Every year it's all about driving up profit margins, a cent from everywhere - thus more "efficient". There is some sound logical underpinning behind trimming the excess fat, and finding ways to do more with less. The process however to get to that can vary, and that process can look better with certain approaches than others - the difference between say, a butcher vs. a chef.

Also every time you hear the AAA model of old is unsustainable you should run the bullshit translator. I'm let you in on the result:

Too big to fail pubs crying their hearts out telling you that even if they release trash, even if they stagnate and become creatively bankrupt they still have a "capitalist god" given right to success and should never fail or go under. If they fail or go under then the problem is not their management - it's the system, the consumer expectations etc etc...... "games are too cheap"..... but never themselves, never.

Somehow every other business out there can fail but theirs can't. It's like the publisher execs watched the automotive industry and banking and decided... "well fuck - we too are too big to fail"

Btw all these big pubs are hooked on that drug called GaaS, just as their consumers are, all chasing that GaaS wagon, saturating it in the process, thus guaranteeing massive failures while in the process of chasing it. This service model also makes the AAA model of old look like childs play cause these GaaS studios are enormous in size, 2-fold, 3-fold of a normal AAA studio.... making a failure, or the lack of sucesss continuation even more damaging on the bodycount. Out of the frying pan and into the fire - literally.

 

[flaccidsnake]

I don't see the AAA bubble bursting at all. Circa 2010 a game was a success if it sold like 2M copies. Now we hear about games selling anywhere from 20M to 200M. Games are still a growth industry. It's just consoles that are stuck at the ~100M mark.