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An essay about recent layoffs in games and tech, and how to strategically navigate what comes next

• jruohonen 3y ago
  To put the practicalities aside, what do you think are the causes behind the post-2021 slump? Are there any solid macro-economic and/or business explanations? And when I look at the revenue data, the market, including the labor market, doesn't look that bad yet, given that growth particularly in mobile has been quite extreme ever since circa 2000.
  • rkrigney 3y ago
    Real revenues dropped 12% since 2021, investor funding fell off a cliff and then smashed through the ground like Wile E. Coyote, paid user-acquisition got stupid-expensive due to regulatory changes, inflation screwed up everything, then interest rates rose faster and higher than most people expected, all while the market got overcrowded. See charts inside. Matthew Ball’s new essay convinced me things are worse than they seemed: https://www.matthewball.vc/all/gaming2024 https://www.matthewball.vc/all/gaming2024
    • jruohonen 3y ago
      That was a good explanation. Indeed, perhaps not seeing the forest from the trees when looking from the consumer side. As for the practical advice, I'd perhaps add diversification so that you can move to another segment, non-game if needs be, temporarily.