Shams Jorjani, the chief executive of Arrowhead Game Studios – the studio behind Helldivers 2 – told GamesIndustry.biz at Gamescom that the video‑game sector is undergoing a profound transformation. He described the current climate as a "transitional phase" and warned that the playbooks that guided developers and publishers throughout the 2010s have effectively lost their relevance. "There have been moments of doom‑and‑gloom, but overall the industry is healthy," Jorjani said.
"What has changed is the foundation of the assumptions we built our strategies on. The formulas that worked from 2010 to 2020 simply don’t apply anymore. The bottom line has been ripped out of every business case. In the past we might have assumed a title would sell a certain number of copies – now you have to subtract zero from that figure.
That’s the reality we face today." He identified three inter‑related forces driving this shift. The first is the continued rise of developers from the Asia‑Pacific region. This year’s Gamescom Opening Night Live featured a slate of titles from Chinese and South Korean studios, underscoring how these markets are no longer peripheral but central to the global catalogue. "Asian games have been creeping into the West for a decade, and now they’re arriving in a steady stream, game after game," Jorjani noted.
"China, in particular, has reached a tipping point in terms of quality. The domestic audience is still largely mobile‑centric, which shapes design sensibilities, but the pace of production is accelerating, especially with AI tools in the mix." Artificial intelligence, he argued, is the second major catalyst.
While previous hype cycles – virtual reality, for example – fizzled out, AI is reshaping creation, distribution, and even market prediction. Yet its adoption varies dramatically across regions. "In the West we’re debating ethics, data rights, and whether AI should be allowed to train on existing assets," he explained. "In the East, the conversation is almost non‑existent – developers simply use the technology because it works.
This cultural divergence mirrors what we see in broader tech sectors, where Eastern firms have largely embraced AI without the moral qualms that dominate Western discourse." Jorjani warned that the West may experience an "existential crisis" as artists grapple with the idea that a game can become a purely functional piece of software when AI handles much of the heavy lifting. "We’ll be slower to adopt, but the uptake is inevitable," he added. The third factor is the sheer length of AAA development cycles.
Large‑scale titles often require five to six years and coordination across multiple continents. Because of that, publishers are leaning heavily on established franchises and recognizable brands to mitigate risk. Jorjani pointed out that brand equity now functions as a safety net in an environment where consumer attention is fragmented.
"When you see a flood of new releases, you get analysis paralysis. A familiar name like Worms instantly tells you what you’re getting, even if you don’t know whether it will innovate. Statistics show that roughly half of Steam’s playtime comes from games older than 18 months, and a sizable portion of purchases are for remakes or sequels rather than brand‑new IPs," he said. "That’s why we were fortunate with Helldivers – we hit the right mix of luck and a unique ‘secret sauce’ that made the game stand out." He contrasted this with the approach of companies such as Riot Games or Supercell, which often juggle several projects simultaneously.
When one title becomes a breakout hit, the others can fade into obscurity. For indie developers, however, the landscape offers a strategic advantage. "Early validation is the secret ingredient for success," Jorjani asserted. "The sooner you can show something to a real player and receive positive feedback, the quicker you can iterate.
Indie studios excel at this because their development cycles are short and they share progress openly – a GIF here, a demo there. If the community reacts positively, you know you’re on the right track. In contrast, a four‑year AAA cycle forces you to wait until the game is finished before you can launch a massive marketing push." Arrowhead is planning to embed this philosophy into its next project. The studio intends to borrow tactics from mobile developers, who frequently test concepts via ads and monitor which ones perform best before committing to full production.
"We’ll put the prototype in the hands of a hundred Helldivers fans right away and ask them about their favorite IPs and genres," he explained. "If they love aliens and enjoy Helldivers, we know we have a strong signal. If they like the game but alien themes aren’t their top choice, we adjust accordingly.
This granular, early‑stage feedback loop replaces the old model of keeping the product under wraps for years before a big reveal." In closing, Jorjani emphasized that the industry must abandon the antiquated habit of guarding ideas for prolonged periods and instead embrace rapid, data‑driven iteration. "The old playbook of hiding your cards until the final showdown is dead," he concluded. "The future belongs to teams that can test, learn, and adapt quickly, whether they’re a large studio or a solo indie. That agility, combined with an awareness of global trends – from Asian market growth to AI adoption – will define who thrives in the next decade of gaming."