Everything is Fine, Everything is Just Fine

I don't even know where to start. The state of the video game industry is in its death throes right now due to everything happening all at once. I remember about a year and a half ago I was talking to some friends of mine about how I believed we were heading for a video game crash, and I was utterly mocked for even bringing up the idea. I would like to say that I tracked down those friends and gave them the biggest “I told you so” speech of my life, but I'm not exactly thrilled about being right about this particular thing.

If Microsoft Was a Centipede It Would Have 3 Feet Left

The word going around over the last few weeks post‑SGF was that Microsoft was going to be committing a round of layoffs and studio closures that would make EA pause. Five major studios are rumoured to be completely closed on top of God knows how many layoffs from the many other studios under the Microsoft umbrella. Industry veterans are claiming this is going to be the single largest loss of video game jobs in history. The five studios rumoured to be on the chopping block are Double Fine, Compulsion, Undead Labs, Ninja Theory, and Arkane. Those last three are important because, unlike Double Fine and Compulsion—who, as far as I know, have no announced games in the works—Undead Labs, Ninja Theory, and Arkane Studios all have announced products with some well into development. Undead Labs is currently running a closed test for State of Decay 3, Ninja Theory had just announced Senua/Hellblade 3 last month, and Arkane Studios is working on that Blade game for Marvel. Those are three big first‑party games Microsoft thinks it's not worth continuing on. But it's not just about studios who don't have a game far into development; it is purely a cost‑cutting measure. Doesn't matter if it's a universally beloved developer like Double Fine, or having a game far in development like Undead Labs, or a studio utilizing a popular Marvel IP like Arkane. If you cost X but aren't making Y, you're done.

Half of these studios might be gone by next week

I've been a supporter of Xbox since there was an Xbox. I've owned all of them, and most of them have been my primary console of choice through the generations, including the current one. I am that Xbox fanboy, but even I have completely lost faith in Xbox as a whole. It feels like every other month Microsoft does something stupid or evil that makes you feel dumb for owning an Xbox or supporting the ecosystem. It is crazy to me that the Perfect Dark game they cancelled awhile ago would have been released either this year or next. When I look at the long term for Sony and Nintendo, yeah, there's a lot I don't like or care about, but there is something there. I don't see anything in Microsoft's long term outside of Elder Scrolls VI. Yeah, Xbox has a couple of games coming out soon‑ish like Gears E‑Day and Fable, but after that it is a big wasteland of nothing, and even if they did, I have zero confidence they'll even release it.

It's not like Sony has been mega successful using Marvel IP

So at this point, I don't know. Maybe Asha Sharma turns it all around in a few years. Maybe they sell off Xbox to the Saudis. Maybe Project Helix turns out to be the hybrid Xbox/PC people want. It's impossible to tell. I just cannot see a way Microsoft digs Xbox out of this hole unless their competitors fuck up even worse.

It's True, This PlayStation Has No Discs

This is one of those things that you knew was coming sooner rather than later, but even after it happens you're still a little shocked. Sony is discontinuing production of physical PlayStation discs in 2028. As in all of them. As in there will be no new physical disc releases for PlayStation games in January 2028.

Oh 2013, such an innocent time

There's a couple of things you can get from this news. Firstly, this pretty much confirms the PlayStation 6 will not have a disc drive. I assume it will either have an optional external disc drive or they somehow reuse the disc drive from the PS5 like it's the Xbox 360's HD‑DVD drive. Secondly, the ratio of digital vs physical sales must have skewed so hard that Sony felt confident enough to try and pull this off. The numbers being quoted in the wake of this story have been 85/15 in favour of digital, but we don't know if that's all sales or just games with a physical version, or even if that is a worldwide number. I bet physical discs sell a lot more in countries that don't have the best internet coughAustraliacough. Lastly, this might be the start of the discontinuation of all physical media. Microsoft, as much as I would like to see them get that rare W and commit to physical media, will probably follow suit. Nintendo already had a toe in with their game keycards, so they probably will ditch cards for this next console. After that I'm sure this will leak over to movies, television, and music as well. We all eventually get to the point where we will own nothing and like it.

You could buy a used copy of Forspoken for $18. I wouldn't but my point stands

I'm not the biggest modern physical media guy on the planet. I think it's kind of silly to invest in physical games media for modern consoles when 90% of discs don't even come with the full game on it, requiring a download anyway. But I still do buy physical media. I still bought Final Fantasy XVI and Spider‑Man 2 on disc. I still have a bunch of physical Nintendo Switch games on my shelf. I bought those not because I wanted to feel like I own those games or for preservation. I bought every single one of those because the retailers I bought them from offered a better deal. I own a physical copy of Forspoken. I paid $5 for it. I don't think it's a very good game, but I did try it. Now, if I wanted to buy Forspoken on PSN right now? $114.95, or if I paid for the all‑time low price on PSN it would be $34.48—nearly five times the amount I paid. That is the sticking point for me: a lack of customer choice. All my PC games are digital, yes, but I have so many different options on where to buy those games between Steam, GOG, EGS, and even within Steam I can use key sellers like Humble, GMG, or Fanatical. If PSN becomes the only place where I can buy my PlayStation 6 games, then I will not be buying a PlayStation 6. This is 100% a dealbreaker for me, and as much as I want Sony to backtrack, based on reporting that is very unlikely. Good thing Sony is porting all their big games to PC—oh wait.

Valve is Overcharging for an Underpowered Console

If you thought Valve was going to save the console industry, swinging in through the window wearing a feathered tricorne hat and a knife in its mouth, I'm afraid to say they tripped on the windowsill and that knife is now halfway down the throat. So Valve has announced the price of the much‑anticipated Steam Machine, and it's… a bit more than people were expecting. For the base model with no controller, it will cost you $1609 AUD, which is waaaaaaaay too much money for a console, even if it is a PC. To put that in perspective, you can buy a digital Xbox Series X for less than half the price, and that comes with a controller. Absolutely absurd pricing from Valve.

Genuinely incredible stuff what Valve has done with SteamOS

I can tell you right now I will probably never buy one. I was pretty on the fence about it before, as I already have a stupidly expensive PC to play all my Steam games, but I really do hate playing games at a desk, so this would have been an easier and somewhat inexpensive way to do that. But not at the price of both major consoles combined. To me, the Steam Machine has two target audiences: people who want a console and people who want a PC. The console people are absolutely not going to spend that much money on something their competitors offer at more than half the price. Even if you consider offsetting the cost by buying cheaper PC games compared to consoles, you would have to buy dozens and dozens of games before even coming close to that money you spent in savings.

Steam Machines have come a long *long* way

Then you've got people who are into PC gaming. They are going to look at the price and laugh. Even with the insane, downright predatory prices of memory and storage, people could build a PC with the same costs as a Steam Machine, and it will run games better and be upgradeable. You can even forgo a Windows licence for SteamOS, pick up a Steam Controller, and you would have practically the exact same experience. In reality, the only people left for this are rich lunatics who just like buying cool tech. I understand the price of the components was outside of Valve's control, but Valve is a privately held company that isn't beholden to shareholders or investors—only themselves. Valve could have easily sold this at a loss, and considering how much money Valve makes a year from Steam, that's not impossible. We could have had incredibly accessible gaming PCs for the masses. People could see what Microsoft and Sony were doing, and we could have told them, “Get a Steam Machine and you won't have to deal with any of that.” But alas, we cannot, because gaming continues to be beyond the means of most people. Even with rising prices, studio closures, and the removal of physical media, I would still recommend a PS5 or Series X over a Steam Machine. The Steam Machine is so expensive that it's got me saying, “Yeah, you're better off going with Microsoft". That is how bad the state of things are right now.