theguardian.com
Video Game Industry Shifts Away From Live Service Model After Mass Layoffs
The video game industry experienced massive layoffs in 2023 and 2024 due to the failure of multiple live-service games, leading to a shift towards premium single-player titles in 2025, such as GTA VI and Death Stranding 2.
- How is the 2025 game release lineup responding to the recent failures of the live service model?
- The shift is marked by a return to large-scale, premium single-player titles in 2025, such as GTA VI, Death Stranding 2, and Civilization VII. These games, unlike most live service titles, are not designed to generate revenue through microtransactions but rather offer complete gaming experiences. This trend suggests a potential industry recalibration.
- What are the primary causes and consequences of the significant layoffs in the video game industry in 2023 and 2024?
- The video game industry faced significant upheaval in 2023 and 2024, with approximately 10,000 and 15,000 layoffs, respectively, largely due to the failure of multiple high-profile "live service" games. This resulted in hundreds of millions of dollars in losses for major publishers. The trend suggests a shift away from the live-service model.
- What are the potential long-term impacts of the shift away from live-service games and towards premium single-player titles?
- The resurgence of premium single-player titles may indicate a growing industry recognition of the unsustainable nature of the live-service model's high development costs and frequent failures. The success or failure of these 2025 releases will likely determine whether this represents a lasting trend or a temporary retreat.
Cognitive Concepts
Framing Bias
The article frames the resurgence of premium, largely sequel-based games as a positive development, contrasting it with the instability and perceived negative impacts of the live-service model. The headline, "Dragons, demons and Grand Theft Auto VI: the games to look out for in 2025," and the overall tone emphasize excitement for upcoming sequels, potentially downplaying any concerns about the industry's reliance on established franchises. The author's personal experience with writing "most anticipated games" articles in the past subtly shapes the narrative and emphasizes a nostalgic preference for traditional game models.
Language Bias
The article uses loaded language to describe live-service games, referring to them as "identikit live service wallet-whackers" and describing the industry's focus on them as an "obsession." These phrases carry negative connotations and present a biased view of this business model. Similarly, the author uses positive language to describe the return to "what games used to be," framing it as "wildly courageous and optimistic." The tone leans heavily towards a preference for traditional games while contrasting that with a critical, almost fearful view of the live service model.
Bias by Omission
The article focuses heavily on the shift towards and subsequent backlash against live-service games, potentially omitting other significant trends or developments in the gaming industry in 2025. While acknowledging the prominence of live-service failures, it doesn't delve into the successes or explore alternative monetization models beyond the dichotomy of premium and live-service. The discussion of game layoffs is significant but lacks specific details on the companies involved or the nature of the job losses. Finally, the article's recommendations section predominantly focuses on PC and mobile games, overlooking potential significant releases on other platforms.
False Dichotomy
The article sets up a false dichotomy between premium games (mostly sequels) and live-service games, implying that these are the only two significant models. It overlooks the existence of other monetization strategies and the complexities within both categories. The author contrasts the 'adult' nature of upcoming titles like GTA VI with the broad appeal of live-service games, but this oversimplifies audience preferences and ignores the existence of mature-rated live service games or the presence of age ratings within the premium title market.
Sustainable Development Goals
The article discusses the significant layoffs in the gaming industry, highlighting the negative impact on workers. The increased focus on creating premium, non-live-service games suggests a potential shift towards more stable employment models and a reduction in the precariousness of work in the gaming industry. This could lead to more equitable distribution of income and resources in the long term.