Shams Jorjani, the chief executive of Arrowhead Game Studios – the studio behind Helldivers 2 – recently told GamesIndustry.biz at Gamescom that the video‑game sector is undergoing a profound transition. He explained that the formulas and playbooks that guided developers and publishers throughout the 2010s have lost their relevance in today’s market.
"There have been moments of pessimism, but overall the industry remains healthy," Jorjani said. "What’s changed is that the foundations of our assumptions have shifted dramatically. The strategies that worked from 2010 to 2020 simply don’t apply any longer.
The bottom line has been stripped from every business case we once relied on. No one could predict exact sales figures, but we used to assume a baseline – whatever that number was, take it away. That’s the new reality." He identified several forces driving this upheaval. One major factor is the continued ascent of developers from the Asia‑Pacific region.
This year’s Gamescom Opening Night Live highlighted the capabilities of studios from China and South Korea, underscoring how Asian games are now a regular presence in Western storefronts. "Asian developers have been gaining ground for a decade, but now it’s a steady stream of titles that are genuinely competitive," Jorjani observed. He pointed to China in particular, noting that the country has reached a tipping point in the quality and ambition of its games.
"The Chinese market is still largely mobile‑centric, which shapes the design sensibilities of its creators, but the overall pace is accelerating," he added. "Artificial intelligence is amplifying that speed, allowing more games to be produced at a faster clip across the globe." Jorjani stressed that AI is not just another hype cycle like virtual reality once was; it represents a structural shift that adds a layer of unpredictability to the industry’s future.
He highlighted a stark contrast between how the West and the East are approaching the technology. "In the West, we’re debating ethics, data ownership, and whether AI should be limited on artistic grounds.
In the East, there’s far less hesitation – companies adopt AI wholesale, focusing on functional outcomes rather than philosophical concerns," he explained. "Western developers are experiencing an existential dilemma because they see their craft as an artistic dialogue with players, whereas AI reduces many aspects to pure software functionality. The West may be slower to adopt, but the trend is inevitable." Beyond AI, Jorjani warned that the long development timelines typical of AAA projects compound the difficulty of planning for an uncertain market.
Five‑ or six‑year cycles involving multiple, globally distributed teams make publishers wary of investing in brand‑new IPs. Consequently, many Western studios have leaned on existing franchises to mitigate risk.
"When development cycles are lengthy and the market is volatile, you need a safety net," he said. "A recognizable brand provides that cushion because players know what to expect. This is why you see titles like Worms or Helldivers being revived – they offer a degree of certainty amid a flood of new releases that can cause analysis paralysis." He cited data from Steam Replay 2025, which showed that roughly 44 % of player hours were spent on games aged between one and seven years, indicating that gamers often gravitate toward familiar experiences rather than untested newcomers.
While there is vocal demand for fresh IP, purchasing behavior tends to favor remakes and sequels. Jorjani also praised companies such as Riot Games and Supercell, which maintain a portfolio of projects in various stages of development. Their strategy allows a single breakout hit to offset the quieter performance of other titles. This diversified approach, he argued, gives indie developers a strategic edge.
"The secret sauce for any successful game is early validation," Jorjani asserted. "The quicker you can put something in front of players and receive positive feedback, the sooner you know you’re on the right track and can iterate.
Indie teams excel at this because their cycles are shorter and they often share progress openly – a GIF or a short demo can generate immediate community response." He recounted the rise of Tiny Glade, an indie title that gained momentum after early GIFs went viral week after week. By contrast, a four‑year AAA cycle that waits until the final product to launch a massive marketing push lacks that iterative feedback loop. Arrowhead is planning to embed this philosophy into its next project.
Jorjani said the studio will borrow tactics from mobile developers, who routinely test concepts via ads to gauge audience reaction before committing full resources. "We’ll hand the game to a select group of players as early as possible," he explained.
"Our goal is to craft experiences for a specific type of connoisseur, not the generic action‑game crowd. We might give the prototype to 100 Helldivers fans, ask them about their favorite IPs, and see if they respond positively to alien themes. If that cohort rates the game higher than a control group that likes Helldivers but not aliens, we know we’re hitting the right niche.
Doing this early, rather than two years after launch, is crucial." In closing, Jorjani emphasized that embracing this new, data‑driven, early‑validation mindset requires abandoning the old habit of keeping projects under wraps for years before a big reveal. "You have to let go of the traditional playbook of secrecy and delayed gratification," he concluded. "The future belongs to those who can test, learn, and iterate quickly, leveraging AI, global talent, and the growing influence of Asian studios to stay ahead of the curve."