Faced with evolving consumer habits and the threat of technological advancements that loom over its shoulders, Shawn Layden, the former head of PlayStation, has emerged with thought-provoking insights.
Layden's tenure at PlayStation, which lasted for decades and culminated in a five-year term as the chairman of SIE Worldwide Studios from 2014 to 2019, was characterized by significant achievements and innovations. Thus, his experience lends a certain gravitas to his opinions on the current state and the future of gaming. His recent comments, especially those highlighting the unsustainable spiraling costs of AAA games and the issue of exclusivity, have sparked a renewed debate on the direction console gaming is headed.
Layden's critique centers around the economics of game development, particularly the rising costs associated with producing blockbuster titles and the industry's overreliance on them.
With development budgets now routinely exceeding $200 million, the traditional model of platform exclusivity, as shared by Laden in an interview with GamesBeat, becomes an "Achilles' heel." This model is restrictive for these costly games, making it challenging to recoup investments and realize significant profits. He points out that the global install base for consoles has historically never surpassed 250 million, suggesting a ceiling on the potential audience for any given title.