The whole AAA video game industry has been struggling in recent years as oversupply, astronomical development costs, and competition from nimbler AA and indie studios have put a serious dent into their profits. And unlike EA or Activision, Ubisoft no longer has any reliable cash cow franchises, which puts them into precarious position.
But the fact that their only answer to this is doubling down on the strategy that has stopped worked years ago does not bode well for them.
It isn’t just AA and indie. A lot of the play hours are soaked up by mega titles like Roblox, Minecraft, and Fortnite before AA and indie even kick in. I’d say the low tier is just as impacted by this dynamic.
Everyone else is fighting over a tiny slice of the pie.