In a recent discussion, Matthew Karch, the head of Saber Interactive, shared his perspective on the future trajectory of the gaming industry. He believes that the era of high-budget AAA games, costing between $200 to $400 million, is drawing to a close. Karch argues that such exorbitant budgets are not only unnecessary but also inappropriate. He went further to suggest that these massive budgets might be a significant factor contributing to the widespread job losses seen in the gaming sector.
The term "AAA" has traditionally been used to denote video game projects characterized by large budgets, high quality, and minimal risk of failure. However, according to game developers, this term has lost its relevance. Today, "AAA" is often seen as synonymous with a race for profits that compromises on quality and innovation.
Charles Cecil, co-founder of Revolution Studios, echoed this sentiment, calling the term "AAA" "silly and meaningless." He pointed out that the industry's shift towards large investments by major publishers has not been beneficial. Cecil remarked, "It's a meaningless and silly term. It's a holdover from a period when things were changing, but not in a positive way." A prime example he cited is Ubisoft's Skull and Bones, which the company boldly labeled as a "AAAA game."