Is the talent not vanishing backed up by data? The gaming industry has always been an extremely brutal industry, and I wouldn't be surprised if the low wages, long hours and zero job security permanently burn out some of the talent.
I don't have inside knowledge but have followed Bioware (given how many of their games live rent free in my head)
1 - 2017 they cut from 500 -> ~350
2 - 2023 went from 350 -> 200 that included a bunch of very senior people including the OG writer of Baldur's gate Lukas Kristjanson
3 - Early '24 cut down to 100 skeleton crew as the writing on the wall for DA Veilguard sales materialized (sold about 1.5m vs 3m projected)
I don't have inside knowledge but have followed Bioware (given how many of their games live rent free in my head)
1 - 2017 they cut from 500 -> ~350
2 - 2023 went from 350 -> 200 that included a bunch of very senior people including the OG writer of Baldur's gate Lukas Kristjanson
3 - Early '24 cut down to 100 skeleton crew as the writing on the wall for DA Veilguard sales materialized (sold about 1.5m vs 3m projected)