Soaring Game Budgets Fuel Industry Changes As Companies Seek New Paths to Growth
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Game budgets have risen astronomically to $300 million, making them risky investments that reduce creativity and new IP.
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The high cost also makes exclusives harder to justify as they reach fewer players.
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The console market hasn't grown recently, so companies have to take customers from competitors to grow, leading to layoffs.
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Xbox is moving away from exclusives, porting games to other platforms to find growth and relevance.
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Spencer believes the industry needs to pivot away from assumptions like exclusivity to start growing again.