It seems like the gaming industry, at least the traditional console-driven industry, is rapidly approaching some sort of inflection point. Xbox is bringing more of their games to other platforms, amid consistent speculation they may be stepping back from the console business, and PlayStation is hinting they may pursue a more aggressive PC release schedule even as PS5 sales continue to outpace the PS4. Meanwhile, one publisher after another announces deep layoffs and cancellations.
It can be hard to square what’s going on, as games are still selling well, and there are certainly many factors at play, but perhaps the biggest problem facing the industry right now is the rapidly-rising cost of development. While the leap to the current generation may not have felt that transformative, it been hugely expensive – for example, the recently released Spider-Man 2 cost over $300 million to make, triple the $100 million its 2018 predecessor cost. This is what has PlayStation sweating – their products are selling as well as ever, but their profit margins are the lowest in a decade. It’s these ballooning costs that are going to lead to changes, whether players like them or not.
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In a new interview with The Verge, former PlayStation Studios boss Shawn Layden touches on the subject of rising developing costs, admitting exclusivity becomes an “Achilles’ heel” at a certain point…
“When your costs for a game exceed $200 million, exclusivity is your Achilles’ heel. It reduces your addressable market. Particularly when you’re in the world of live service gaming or free-to-play. Another platform is just another way of opening the funnel, getting more people in. In a free-to-play world, as we know, 95% percent of those people will never spend a nickel. The business is all about conversion. You have to improve your odds by cracking the funnel open. Helldivers 2 has shown that for PlayStation, coming out on PC at the same time. Again, you get that funnel wider. You get more people in.
For single-player games it’s not the same exigency. But if you’re spending $250 million, you want to be able to sell it to as many people as possible, even if it’s just 10% more. The global installed base for consoles–if you go back to the PS1 and everything else stacked up there, wherever in time you look at it, the cumulative consoles out there never gets over 250 million. It just doesn’t.”
While bringing your game to more platforms can help offset high development costs, it also comes with the drawback of hurting the cachet of your exclusive platform. Ultimately, perhaps the better and more efficient solution is to
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While Microsoft has tried to put a happy face on things, the future of Xbox – at least Xbox as a distinct brand with its own hardware and exclusives – has never been more in question. Last month Microsoft tried to calm worries with an Xbox Business Update, in which they revealed several older, smaller-scale games were going multiplatform, but that others, like Starfield, aren’t for now. Furthermore, they vowed to continue working on new hardware which will, apparently, deliver the “largest technical leap ever” (how they plan to deliver on that boast, I don’t know).
We’ve known Final Fantasy XVI would be getting a pair of story expansions for some time now, with the first one, Echoes of the Fallen being more of a bite-sized experience. Thankfully, the second, The Rising Tide, will be much meatier, and today at a panel at PAX West, Square Enix pulled the curtain back on what to expect. The DLC will introduce a new area, the coastal land of Mysidia, an additional ally for your team named Shula, and the powerful water Eikon, Leviathan. You can check out a trailer for Final Fantasy XVI - The Rising Tide, below.
Fans are still waiting for a full reveal of what can be expected from Diablo IV Season 4, but today during their latest “Campfire Chat,” Blizzard revealed some of the nitty gritty things players need to know about the season. First off, Season 4 will be arriving later than expected, as Blizzard wants to make sure that feedback from Diablo IV’s first public test realm will be fully incorporated. So, instead of coming out on April 16 as previously promised, Season 4 will arrive on May 14.
Microsoft has revealed the titles they’ll be adding to Xbox Game Pass on PC and consoles in late March and very-early April, and it’s a pretty packed lineup. The headliner is Diablo IV, one of the first major Acti-Blizz games to jump to Game Pass following Microsoft’s acquisition of the publisher. Other notable additions include The Quarry, Hot Wheels Unleashed 2, and the new-release indie game Open Roads.
Minecraft dropped its latest update earlier this week, but those playing on PC may want to avoid downloading it. Mojang is warning that those who update Minecraft via the Xbox app on PC may have their worlds wiped. Mojang recommends running the Gaming Services Repair Tool for PC on the Xbox App before downloading the latest update, but until an actual fix is released, I’d remain wary. For now, automatic updates through the PC Xbox App have been disabled by Mojang as a preventive measure.
Halo Infinite’s regular seasonal updates have come to an end, but 343 Industries aren’t abandoning the game, and in fact next week will see the launch of a fairly significant update. This patch will offer a full networking overhaul – rather than trying to patch problems in Halo Infinite’s original networking model, they’ve decided to completely change the underlying tech. At the same time, Easy Anti-Cheat is being added to the game.
Spring is almost upon us (or already here for those lucky enough to not be living in Canada) and that means the Steam Spring Sale is in full swing, offering discounts on thousands of titles. This year, we’re getting deep discounts on some of 2023’s top games, including Hogwarts Legacy, Diablo IV, Mortal Kombat 1, and Star Wars Jedi: Survivor. Recent hits like Baldur’s Gate 3 and Palworld are also getting their first modest discounts. Of course, some perennial favorites like GTA V are also on sale. I’ve picked out a selection of deals that might pique your interest. Check the list out, below.
Former PlayStation boss Shawn Layden says he sees "consolidation to be the enemy of creativity," as the company's outgoing boss Jim Ryan shares his enthusiasm for Microsoft's Call of Duty deal with PlayStation.
Former Sony Interactive Entertainment (SIE) chairman Shawn Layden addressed the challenges facing the modern games industry in a brand new interview, calling console exclusives the «Achilles' heel» of the video games landscape.
Shawn Layden, the chairman of Worldwide Studios and former CEO of Sony Interactive Entertainment America, has been making the rounds lately. Chatting with both the What’s Up PlayStation podcast and Gamesbeat, the longtime exec is giving his thoughts on the pros and cons of exclusivity when it comes to big-budget first-party titles.
Former PlayStation boss Shawn Layden has opened up on his thoughts about the modern games industry, stating that «exclusivity is the „Achilles' heel“ of the modern development cycle.
Exclusivity has become much less hard-and-fast than it was for so long in the games industry, to the extent that even first parties are now beginning to explore multiplatform releases. PlayStation games routinely show up on PC, and Xbox accelerated its multiplatform efforts with both PS5 and Switch releases with the likes of Sea of Thieves, Hi-Fi Rush, Pentiment, and Grounded.