The Game Developers Conference (GDC) released its annual State of the Games Industry report, shedding light on the challenges and shifts developers faced in 2024. The survey, conducted in partnership with market intelligence firm Omdia and Game Developer, gathered insights from over 3,000 game industry professionals.
Layoffs in 2024: A Growing Concern
One of the report’s most striking findings was the increase in layoffs. In 2024, one in ten developers experienced job losses, while 41% were impacted by layoffs overall, up from 35% in 2023. A significant 29% of respondents reported that redundancies directly affected their teams, compared to 18% in other departments.
The primary reasons cited for layoffs included company restructuring, declining revenues, and shifting market priorities. Developers also pointed to broader issues like COVID-era overexpansion, rising production costs, and poor leadership as contributing factors.
Despite the challenges, union discussions have remained steady. Around 20% of developers reported conversations about unionizing in the past year. While 29% said their companies were supportive of these talks, 19% expressed mixed reactions and 12% opposed union efforts.
Job Roles and Work Patterns
The most affected job role was in the game narrative, with 19% of developers in this area laid off in 2024. Despite this, narrative development saw notable growth, increasing from 14% to 17% year-over-year.
The survey also highlighted changes in work hours. While 57% of developers worked 40 hours or less per week, down from 64% last year, 13% reported working over 51 hours weekly, compared to 8% in 2023. Many attributed this to self-imposed pressure, though this trend saw a slight decline from 71% in 2023.
Platforms and Market Trends
PC gaming remained the dominant platform, with 80% of developers working on PC projects, up from 66% in 2023. The rise in popularity of the Steam Deck likely contributed to this growth, as nearly half of respondents expressed interest in the device.
For consoles, the PlayStation 5 led with 37% of developers focusing on it, while the Xbox Series X|S followed at 33%. However, Xbox surpassed PlayStation in cloud gaming, with 13% of developers creating for Xbox Game Pass compared to 9% for PS Plus.
Mobile game development also rebounded, with 29% of developers working on Android and iOS titles, marking the first increase since 2020. Surprisingly, web browser games saw a surge, with 16% of respondents developing for this platform, up 9% from the previous year.
The Live-Service Debate
Live-service games sparked mixed reactions among developers. While 42% were uninterested in this genre, others acknowledged its value in fostering community and enhancing player experiences. However, concerns over declining player interest, market oversaturation, and developer burnout remained prominent. Failure of titles such as Concord, Anthem, and Redfall is the biggest reason.
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Source: GDC State of the Games Industry Report 2024