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 transitional period. He emphasized that the formulas and assumptions that guided developers and publishers throughout the 2010s have lost their relevance in today’s market. "There have been moments of doom‑and‑gloom, but overall the industry is healthy," Jorjani remarked.
"What’s changed is that the foundations of our expectations have shifted dramatically. The playbooks that served us from 2010 to 2020 simply don’t work any longer. The bottom line of every business case has been knocked out.
No one could guarantee a title’s sales, yet they would assume a minimum figure. Take that number and subtract one zero—that’s the new reality." He identified several forces driving this upheaval.
One of the most visible is the continued rise of developers from the Asia‑Pacific region. This year’s Gamescom Opening Night Live highlighted the capabilities of studios from China and South Korea, showcasing a wave of high‑quality releases that are increasingly capturing Western attention. "Asian games and companies have been making steady inroads into the West for about a decade," Jorjani explained. "Now it’s a steady stream—game after game—proving that they can compete at the highest level." China, in particular, appears to have reached a tipping point in terms of production quality.
While the Chinese market remains heavily mobile‑centric, that focus influences design sensibilities and accelerates development speed. Jorjani believes artificial intelligence is amplifying this momentum, allowing studios to ship titles faster than ever before.
"AI is a catalyst that’s speeding everything up," he said. "More games are emerging at a breakneck pace across the globe." The introduction of AI into game creation adds another layer of uncertainty. Predicting where the industry will be in five or ten years has become increasingly difficult, especially given the uneven adoption of AI across regions. In the West, developers grapple with ethical debates—questions about data usage, training practices, and artistic integrity dominate conversations.
Conversely, many Eastern studios appear less concerned with these moral considerations, treating AI as a straightforward productivity tool. "In the West we’re wrestling with ethics and whether companies should be allowed to train on certain data," Jorjani noted. "In the East, there’s little hesitation—if it works, they use it. It’s similar to what I see among my friends in the broader tech sector: everyone has shifted to AI without major qualms because the goal is functional code, not necessarily an artistic statement." He observed that Western developers may experience an "existential crisis" as AI blurs the line between artistic creation and software engineering.
While artists seek to connect with players on an emotional level, AI‑generated content can feel more utilitarian. Nonetheless, Jorjani predicts that the West will eventually adopt AI, albeit at a slower pace.
Beyond technology, the sheer length of development cycles for AAA titles remains a critical challenge. Large‑scale projects often span five to six years, involving multiple teams spread across different time zones. This reality pushes publishers toward established franchises and away from risky new IPs, especially in Western markets where the financial stakes are high. "Development cycles are still long," he said.
"When you know that and the market is shifting, you need a very solid bet. Brand recognition is the biggest risk mitigator.
Players know what they’re getting with a familiar name, which reduces uncertainty." Jorjani highlighted the phenomenon of "analysis paralysis" that emerges when consumers are bombarded with a constant flood of new releases. Recognizable titles—like the classic Worms series—offer a safe choice amid the noise, even if they aren’t groundbreaking.
Data from Steam Replay 2025 shows that roughly 44 % of user playtime is spent on games between one and seven years old, underscoring the market’s reliance on established catalogues. He pointed to companies such as Riot Games and Supercell, which often juggle several projects simultaneously; one breakout hit can eclipse the others, allowing those studios to stay afloat while smaller titles fade.
This dynamic, Jorjani argues, gives indie developers a strategic edge. "Early validation is the secret sauce of any successful game," he asserted.
"The sooner you can show something to a player and receive positive feedback, the more confidently you can iterate. Indie teams excel at this because their cycles are short and they share progress openly—posting a GIF, for example, and watching the community’s reaction." He cited the indie hit Tiny Glade as an example: early teaser GIFs generated viral interest week after week, propelling the title forward before a full marketing push. In contrast, a four‑year development timeline that waits until a game is complete before any public exposure can be a liability.
Arrowhead itself is adopting this rapid‑feedback approach for its next project. Inspired by mobile‑gaming practices, the studio plans to test concepts directly with players through short‑form ads and in‑game demos, measuring which ideas resonate most. "We’ll put the prototype in the hands of a hundred Helldivers fans right away," Jorjani explained. "Then we’ll ask them about their favorite IPs and genres.
If they love aliens, enjoy Helldivers, and respond positively to our new concept, we know we’re on the right track. This early data beats waiting two years for broad user testing." He concluded with a call to abandon the old playbook of keeping development secrets for years before a grand reveal.
Instead, he advocates a transparent, iterative process that leverages community feedback from the outset. "The industry’s assumptions have changed fundamentally," Jorjani summed up. "Long development times, the rise of Asian studios, and AI are reshaping how we make and market games.
Indie developers, with their agile cycles and willingness to validate early, are uniquely positioned to thrive in this new landscape."