No One Can Afford to Make ‘Myst’ Games Anymore
The creators of Myst released a trailer for a new game in the franchise, but it died months ago due to lack of funding. The game's developers, Cyan Worlds, pitched the game to more than a dozen publishers but went home empty-handed.
Intelligence analysis by Llama
The funding for mid-market video games, including the higher end of the indie scale, is drying up. This is due to the collapse of venture capital funding for the video game industry and the loss of discoverability on platforms like Steam.
Imagine you're playing a game, and you're stuck in a strange world. You're being held hostage by a writer with a temper. This is what's happening to the game 'Myst'. The creators made a new game, but they couldn't get anyone to fund it. This is because the people who make games, called publishers, are being very careful with their money. They're not taking risks on games that might not make a lot of money. This is making it hard for game developers to make mid-budget games, which are games that cost a lot to make but not as much as super-expensive games.
Analysis
A $60B Vote of Confidence
The video game industry is facing a middle-market collapse, with funding for mid-budget games drying up. This is due to the collapse of venture capital funding for the industry, which has fallen by more than 75 percent since 2021. The loss of discoverability on platforms like Steam has also made it less likely for publishers to take a risk on a mid-budget game. The industry is shifting towards either triple-A studios, which spend more than $200 million to develop and market a single game, or micro-indie studios, which spend less than $1 million.
Why Cursor?
The game industry is facing a crisis of funding, with the middle market disappearing. This is due to the collapse of venture capital funding and the loss of discoverability on platforms like Steam. The industry is shifting towards either triple-A studios or micro-indie studios, with mid-budget game development becoming increasingly difficult.
The Road Ahead
The future of the game industry is uncertain, with the collapse of mid-market funding and the loss of discoverability on platforms like Steam. The industry is shifting towards either triple-A studios or micro-indie studios, with mid-budget game development becoming increasingly difficult. The industry needs to find new ways to fund mid-budget games and to make them discoverable on platforms like Steam.
Key points
- The funding for mid-market video games is drying up.
- The collapse of venture capital funding for the video game industry has led to a loss of discoverability on platforms like Steam.
- The industry is shifting towards either triple-A studios or micro-indie studios.
- Mid-budget game development is becoming increasingly difficult.
- New and promising alternatives to traditional publisher deals are emerging.
There are new and promising alternatives to traditional publisher deals, such as game fund initiatives like Outersloth, Blue Ocean Games, and Midgame Fund. These initiatives can provide funding for mid-budget games and help them get discovered on platforms like Steam.
The collapse of mid-market funding and the loss of discoverability on platforms like Steam could lead to the loss of mid-budget game development and the shrinking of the scope of games that indie studios pitch. This could result in a homogenization of game development, with only super-expensive games and very cheap games being made.
Market signals
- XAU The collapse of mid-market funding and the loss of discoverability on platforms like Steam could lead to increased demand for safe-haven assets like gold.
AI-generated analysis of potential market relevance. Not financial advice.
.png)
