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Former Sony Interactive Entertainment Worldwide Studios chairman Shawn Layden shared his concerns about the state of the gaming industry during a fireside chat at Gamescom Asia in Singapore. In a conversation with Gordon Van Dyke, co-founder and chief publishing officer of Raw Fury, Layden expressed his worries about the disappearance of AA studios and the impact it has on creativity in the industry.

Layden emphasized that in the past, the focus was on creating fun and enjoyable games, rather than solely on monetization schemes and revenue plans. However, with the skyrocketing costs of developing AAA games, the industry has become more risk-averse, leading to a decline in creativity and an increase in sequels and copycats.

The former PlayStation executive highlighted the importance of indie games as a beacon of hope for fostering creativity and prioritizing innovation over monetization. Layden drew parallels with the film industry, where blockbusters and independent films coexist, and suggested that the gaming industry should embrace a similar approach.

Layden acknowledged that the middle ground occupied by AA studios has vanished, leaving only AAA and indie games as viable options. He encouraged AA studios to find their niche by bringing something new to the table, rather than attempting to replicate the success of AAA titles. He also stressed the need for AA studios to focus on delivering games within a shorter timeframe and to prioritize the game’s concept and quality over monetization strategies.

Addressing the hype around artificial intelligence (AI), Layden dismissed the notion that AI alone can revolutionize the gaming industry. He emphasized that AI is merely a tool that can assist in certain areas, such as quality assurance and ideation, but it is not a game-changer.

Layden expressed optimism about the opportunities in the Asian gaming market, highlighting the region’s growing talent pool and robust economies. He encouraged developers to create games tailored to local markets and emphasized the importance of expanding the player base by getting more people involved in game development.