Are most of the people laid off this year going to be able to find other work in the industry (within, like, a year or two), or do you think the industry is going to be smaller for a while?

From an individual worker's perspective, I think that most of the people who were let go (~70-75% or so) will find new jobs in the industry within the next year or so. There are definitely studios that are still hiring if my inbox is to be believed. I still get plenty of cold call recruiter emails from both independent and well-known AAA studios, so I think there are still openings for people. I think some folks (~20%) will churn out of the game industry and quit for greener pastures. This is also normal, lots of people realize there just isn't a professional career for them in game dev and either go hobbyist or find something adjacent that pays a lot better.

Thinking about things from a corporate perspective, I think that we'll see things continue to grow, but much more slowly than before. The big game publishers (EA, Microsoft, Sony, Square-Enix, Nintendo, Take Two, etc.) are still larger today than they were was in 2020 even after factoring in all of the layoffs from 2023 and 2024 (so far). I don't think that the industry will get smaller - there's more to the game industry than AAA games after all. I think that there's going to be a bunch of indie studios get founded in the wake of the layoffs. I think AAA games will grow more slowly for a while as the big companies circle the wagons and focus on the safer bets.

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