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Is the video game industry being kept afloat by tech giants willingly lighting billions of dollars on fire—and what happens to your studio when the subsidy stops?
In this episode, Ben sits down with Colan Neese, SVP of Gaming at Screen Engine/ASI and author of the Patch Notes newsletter, to deconstruct the shifting macroeconomic tectonic plates of gaming. They dive into the reality of platform economics, why Microsoft is losing an estimated 64 cents on every dollar invested in gaming, the likely rise of ad-supported models in the PC/console ecosystem, and the terrifying market realities of the Grand Theft Auto VI release timeline.
What You'll Learn in This Episode:
- What the true data reveals about the current collapse of platform economics, Microsoft's aggressive studio layoffs, and why the "rounding error" era of gaming budgets is officially over
- Why the industry's current reliance on wishlist momentum and renting creator attention is fundamentally broken, and why ad-tech algorithms might be a viable solution to solve game discovery
- How GTA 6 is creating an unprecedented industry black hole that is actively deflating competitor mindshare, shrinking long-tail revenues, and forcing studios to aggressively alter their release calendars
If you're a leader in game dev who is trying to forecast your studio's launch window, build a sustainable monetization strategy, and survive the impending GTA 6 market consolidation, this episode is for you.
Learn more about Colan Neese:
Connect with Colan on LinkedIn at https://www.linkedin.com/in/colanneese/ and subscribe to his newsletters:
Connect with us:
🔗Ben's LinkedIn: https://www.linkedin.com/in/benjamin-carcich/
🔗BBG's LinkedIn: https://www.linkedin.com/company/building-better-games/
🔗Instagram: https://www.instagram.com/buildingbettergames/#
🔗Website: https://www.buildingbettergames.gg
🔗YouTube: https://www.youtube.com/@buildingbettergames
If you want me to help producers or studios build better games through effective systems and leadership, you can reach me at: info@valarinconsulting.com
#GameDev #GamingIndustry #PlatformEconomics #Xbox #GTA6
