Unraveling the Mystery of Skyrocketing Videogame Development Costs

What’s making blockbuster video game development costs skyrocket?

A recent New York Times article pinpointed the relentless chase for ultra-realistic graphics as a significant cost factor. According to the report, the graphics race has led to underwhelming profits, resulting in layoffs and studio shutdowns.

However, Bloomberg’s Jason Schreier sees a different narrative. He acknowledges the growth in budgets – evident in Naughty Dog’s “Uncharted 2” ($20 million in 2009) versus “The Last of Us Part II” ($220 million in 2020) – ties loosely to graphics. Still, he believes the primary driver is the expansion of game development teams working over extended periods. This growth is a byproduct of not just better graphics, but also the broadening scope of games.

Schreier furthers his point, sharing industry insider tales of management fiascos such as abruptly canceled features or entire teams stalled due to indecision over a game’s ‘core loop’. He proposes that the industry directs its focus towards addressing management issues to stem the rising tide of unnecessary expenses.

Original source: Read the full article on TechCrunch