Rearranging the Gaming Landscape | Year in Review

Our weekly recap column, This Week in Business, presents a collection of stats and quotes from recent stories, infused with opinion and insight into various trends. As the year comes to a close, we reflect on the positives that emerged amidst the difficulties. The Cantonese phrase "Sik see sik zoek dau" translates to "finding a pea while eating poop," which aptly describes the experience of discovering pleasant surprises amidst unpleasant tasks. The gaming industry faced numerous layoffs and closures in 2023, but there were also notable achievements, such as the formation of new unions at major companies, including Microsoft, Sega, and CD Projekt. These developments brought additional leverage to workers and may have a more significant impact in the years to come. The US Federal Trade Commission considered banning non-compete clauses, which could mark the end of exploitative practices. Furthermore, the departure of Bobby Kotick from Activision Blizzard will result in 13,000 fewer people having him as their boss. The year 2023 had its share of positives, and we must remind ourselves of them from time to time. Our 52 stats and quotes will reflect the good, the bad, and the ugly, providing a comprehensive overview of the events and perspectives that defined 2023. As we bid farewell to 2023, we highlight a This Week in Business column from each month that remains relevant today. We hope you enjoy a fulfilling break and look forward to seeing you in 2024. The year was marked by significant events, including Ubisoft's lowered financial forecast, Square Enix president Yosuke Matsuda's prediction of a bright 2023 for blockchain gaming, and the launch of the PSVR 2 with only two exclusive titles. Other notable events included the absence of platform holders at E3 2023, the review of Call of Duty Modern Warfare 2, and Microsoft's binding ten-year agreement to bring Call of Duty to Nintendo players. The year also saw the US Federal Trade Commission considering a ban on non-compete clauses, Nintendo increasing employee salaries by 10%, and Blizzard president Mike Ybarra defending the company's decision to cut employee profit-sharing bonuses. Unity posted its first non-GAAP operating profit in company history, while the FTC put companies on notice regarding the marketing of AI. The year was also marked by the rise of occupational burnout, with Take This clinical director Dr. Raffael Boccamazzo discussing its impact on the gaming industry. The UK CMA blocked the Microsoft merger of Activision Blizzard, citing concerns about the Xbox maker's position in the cloud gaming market. The year saw significant deals, including Sega's acquisition of Rovio for $776 million and Saudi Arabia's Savvy Games Group acquiring Scopely for $4.9 billion. The gaming industry also witnessed the launch of new VR/AR headsets, including the Apple Vision Pro AR headset and the Meta Quest 3. As we look back on 2023, we see a mixed bag of positives and negatives, but ultimately, the industry remains resilient and poised for growth in the future.