THRIVE IN ‘25? INSIDE THE DATA POINTING TO AN INDUSTRY RENAISSANCE
Metaplay’s new study says an industry revival is looking increasingly realistic, and Teemu Haila, Chief Product Officer at Metaplay, is here to tell you more
T
hings have not been easy for the games industry. The challenges need little introduction, as closures, layoffs, and downsizing have been a troubling mainstay of the gaming
headlines in recent years. New data, however, is pointing to a sorely-needed renaissance for
the medium and industry through 2025. Like a true renaissance, it isn’t simply about a return to how things were. The original Renaissance period of the 14th to 17th century not only spawned works like The Last Supper and The Birth of Venus, but introduced a defiant rejection of the medieval era’s rigid mindset, marking a move to embrace the realities of a new modernity. Here at Metaplay, we’ve spent recent weeks and months surveying
and speaking to hundreds of developers and publishers across the US and UK about their hopes and predictions for 2025 for our new report The Game Development Renaissance. It appears that the industry is poised to bounce back, as new conventions and opportunities provide a foundation for a new era. Our research has found that 77% of those surveyed feel optimistic
about general industry growth in 2025 compared to 2024, while 71% expect to see fewer layoffs and studio closures. There’s similar optimism about funding and tool quality too. But what is that optimism based on, and is a meaningful renaissance really coming? Let’s take a look at some of the key findings:
77% of game developers anticipate a greater availability of funding Developers appear emboldened by the emergence of a broader range of funding models, with angel syndicates, community- driven investments, and a resurgent crowdfunding space reducing reliance on VC, while providing more flexibility and control. A more realistic, diverse and sustainability-minded funding landscape appears to be emerging. 71% of game developers expect to see fewer layoffs and studio closures The COVID-19 pandemic played a major prelude to the industry downturn, spiking consumer spend on games, as well as investor optimism. But that period and the fallout that followed taught practical lessons about studios’ need to be both efficient and built to last. A new era of studio models has embedded sustainability and an ‘employee-first’ mindset into their structure. Interestingly, the consistent nature of live-serviced games – and their need for continuous maintenance – have made an ideal bedfellow for this change, letting many teams step away from the cycles of growth, crunch, and downsizing that framed traditional game production.
46 | MCV/DEVELOP February/March 2025
73% of game developers are expecting more acquisitions and exits Consolidation was a much talked about trend as the pandemic dawned – and it is not going anywhere. As gaming’s biggest companies feel renewed confidence, faith is building that acquisitions and exits are returning. 2024’s closing months have seen Keywords acquired for $2.39 billion, Easybrain picked up for $1.2 billion, and SuperPlay scooped for $700 million. As confidence builds that the gains will trickle down in the form of many smaller deals, we must once more credit the live-service boom. Organisations with successful IP on their minds are increasingly keen to snap up ready-made teams with proven records.
75% of game developers are anticipating greater availability of high- quality tooling Old ideas about the superiority of proprietary tech have faded, with so many third-party providers now better understanding modern devs’ needs. Games need to be made differently today, and the tools space has responded to that reality.
GETTING READY FOR A NEW ERA Our study of the industry also found that 63% of game developers are anticipating lower dev costs in 2025, while 68% expect to see a higher number of better quality games next year. 76%, meanwhile, predict better availability of publishing deals. The optimism is near relentless, as a new era framed by
sustainability, efficiency, consistency, emerging technologies, and live-ops surfaces. Away from Metaplay’s own findings, the numbers support the notion that recovery and growth are underway. Newzoo, for example, has predicted that the global games market will grow to $205.7 billion by 2026, pointing to a compound annual growth rate of +1.3% for the total market from 2021 to 2026. It’s no wonder, then, that developers feel optimistic about growth. 2025 is an opportunity to think differently, and try new
approaches to everything from your studio model to your tech pipeline. The struggles of the downturn have been very real, and it is still a time to be supportive and compassionate, as recovery continues. Yet, the reasons to be optimistic are plentiful, as a renaissance approaches.
You can read our full study at:
https://metaplay.io/lp/game-development-renaissance
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