According to the latest State of the Game Industry survey by the Game Developers Conference (GDC), developers are showing a clear preference for creating games on the PS5 and Switch 2, with interest in Xbox games lagging significantly. The survey, which gathered insights from over 2,300 industry professionals, revealed that only 20% of respondents expressed interest in developing for Xbox Series X/S, compared to 40% for PS5 and 39% for Switch 2.

Ubisoft has announced a significant organizational restructuring, marking a pivotal moment in the gaming industry. The company is splitting its creative operations into five distinct divisions, aiming to enhance quality and streamline its game development process. This reset includes the cancellation of six games, the delay of seven others, and the closure of two studios, all in pursuit of reclaiming its creative leadership. The restructuring reflects a response to recent challenges, including disappointing game launches and a decline in stock value.

In a surprising revelation, former Elder Scrolls loremaster Kurt Kuhlmann has shared that he left Bethesda after waiting over a decade for a promised lead designer role on The Elder Scrolls 6. Kuhlmann’s departure highlights the often tumultuous nature of game development, where verbal assurances can sometimes fall by the wayside amid shifting priorities and project timelines. Kuhlmann’s experience serves as a reminder of the importance of clear communication and accountability in the gaming industry.

In a significant turn of events for the gaming industry, Bad Brain Game Studios, a subsidiary of NetEase, has announced its impending closure after failing to secure a new partner for its ambitious project, Midnight Riders. The studio, which was established in 2023 and comprised former Ubisoft Toronto staff, will cease operations on November 17th, 2025. This closure not only highlights the challenges faced by game developers in securing partnerships but also raises questions about the sustainability of studios in an increasingly competitive market.

In a surprising turn of events, MMO veteran Rich Vogel has confirmed the closure of his studio, T-Minus Zero Entertainment, just a year after its formation under NetEase Games. The studio was poised to develop a third-person sci-fi multiplayer action game, but despite initial support and a playable demo, the current market conditions proved too challenging for securing necessary funding. Vogel, who has an impressive track record with titles like Ultima Online and Star Wars: Galaxies, expressed gratitude towards NetEase for their support during the studio’s brief existence.

Glen Schofield, the visionary behind the iconic Dead Space franchise, has recently expressed doubts about his future in game direction. In a candid LinkedIn post, he revealed the struggles of securing funding for a new horror game concept he developed with his daughter, Nicole. Despite initial enthusiasm from potential investors, the budget expectations have drastically decreased, leading Schofield to contemplate stepping away from directing AAA games altogether. The challenges Schofield faces highlight a broader issue within the gaming industry: the increasing difficulty of financing ambitious projects.

In a poignant statement, Playtonic Games has confirmed recent layoffs, underscoring the shifting landscape of the gaming industry. The developer and publisher of the beloved Yooka-Laylee series has faced the difficult decision to part ways with several talented team members, highlighting the broader challenges that many studios are currently navigating. This moment serves as a stark reminder of the volatility within the gaming sector, where even established companies must adapt to survive.

In a surprising yet exciting trend, domestic game companies are now rewarding their development teams with the highly sought-after Nintendo Switch 2. Neowiz and ShiftUp have set a precedent by gifting this latest console to their employees as a token of appreciation for their hard work and impressive sales figures. This move not only boosts morale but also highlights the growing importance of employee recognition in the competitive gaming industry.