Yet. Those games will still sell 20x more than Steller Blade.
Also you don;t understand how game budgets work. The reasons for these very high budgets are because of the wages In California.
It's why Insomniac had pretty big layoffs right after Spider-Man 2 came out and so many people were confused.
Let's take a look at Insomniac's costs.
After Spider-Man 1 until Spider-Man 2 they spent 591 million dollars developing 4 games over 5 years.
This means that Insomniac probably has an annual operating cost of about 118.2 million dollars including external costs.
Let's say you're looking to cut 10% of costs (employees salaries plus misc)
that means you're looking to bring the cost from 118.2 million down to 106.38 million. That's still only a savings of 11.82 million per year, but over say 5 years that's about 60 million dollars and that's just one studio.
The other reality is that they layoffs are about stemming further cost increases. If you look at Insomniac... they're still hiring... people are probably still getting small raises... the costs continue to go up, but now you're not paying 10% of the staff or giving them raises. They're also hiring people remote from out of state so they can pay them less too.
The next thing to do is to cut down the cycle length.
Spider-Man 3 will be a cross platform launch title for PS6. And X-Men will follow shortly after, but then the focus for them is to move to original IP.
If you look at Insomniac, they always have multiple teams working on building games, but a game like Rift Apart cost them time and money.