In the year 2025, game development houses across Europe dramatically increased the amount of money they allocated to external talent, posting a striking 63 percent rise in outsourced spending. This surge outstripped the overall industry’s growth, which was recorded at 55 percent worldwide, highlighting a uniquely aggressive push by European studios to tap into non‑in‑house expertise.

The figures come from the recently released study titled “Talent Signals Reshaping the Games Industry,” authored by Tanja Loktionova, founder of Values Value and co‑founder of InGame Job. Loktionova’s analysis paints a picture of a sector that is rapidly evolving its workforce structure, moving away from the traditional model of large, permanent development teams toward a more flexible, project‑based approach. One of the most notable trends uncovered by the report is the 24 percent increase in the number of freelancers who partnered with European studios over the past year. This growth in freelance engagement mirrors a broader global pattern in which independent contractors are becoming indispensable for meeting tight development milestones and for injecting specialized skills that may not exist within a studio’s core staff.

At the same time, the average earnings of freelancers worldwide climbed by 19 percent, suggesting that the market is rewarding this talent with higher compensation for their contributions. Despite these positive financial signals, the data also reveals a series of challenges that both studios and freelancers are grappling with. Nearly six out of ten studios (approximately 60 percent) reported difficulties in locating qualified specialists for their projects.

This talent shortage is compounded by the fact that 54.1 percent of freelancers indicated that they struggled to secure projects that matched their skill sets and career aspirations. The mismatch between demand and supply is creating a competitive environment where studios must vie for a limited pool of high‑caliber experts, while freelancers contend with periods of under‑employment.

Financial stability remains a lingering concern for many freelancers. Although the average monthly income for freelancers rose by 19 percent on a global scale, a substantial 63 percent of these independent workers expressed anxiety about the consistency of their earnings. This insecurity is understandable given the project‑based nature of freelance work, where income can fluctuate dramatically from one sprint to the next. The broader labor market within the gaming sector also shows signs of volatility.

Thirty percent of survey respondents reported experiencing layoffs in the previous twelve months, and the average time required to land a new position was six months. Such turnover rates underscore the precariousness of employment in an industry that is still adjusting to rapid technological changes and shifting consumer expectations. Looking ahead, half of the participants indicated that they anticipate changing jobs within the next six months, and fewer than half expressed satisfaction with their current roles. Only 26 percent felt that they were making meaningful professional progress, while 36 percent described their careers as stagnant.

Moreover, a striking 55 percent of respondents disclosed that they had not received any formal training or upskilling opportunities in the past year, suggesting that many studios may be underinvesting in employee development. Loktionova interpreted these findings as a "structural signal that the industry has matured past its growth‑at‑any‑cost phase and has not yet figured out what replaces it." In other words, the era of relentless expansion driven by massive hiring is giving way to a more measured, strategic approach to talent acquisition—one that relies heavily on a hybrid model of permanent staff and external contributors. The report further posits that studios are coalescing around a two‑tier team architecture. At the top of this hierarchy sits a small, tightly knit core of directors, lead architects, and other key creatives who safeguard the franchise’s artistic vision and receive comprehensive compensation packages, including equity stakes, health benefits, and performance bonuses.

Surrounding this nucleus is a broader periphery composed largely of contractors and freelancers who are brought in for specific development phases or sprint cycles. Once those milestones are achieved, many of these peripheral workers are released from their contracts, highlighting the transient nature of modern game development employment.

Another dimension of uncertainty stems from the rapid rise of generative artificial intelligence. The study found that 61 percent of European developers are worried that AI tools will increase pressure to deliver content faster and at higher volumes. While AI promises to accelerate certain aspects of production—such as asset generation, level design, and testing—a sizable 35 percent of respondents fear that the technology could ultimately reduce demand for human labor, potentially leading to job displacement. In summary, the 2025 data paints a complex portrait of a European gaming industry in transition.

Studios are investing heavily in external talent, freelancers are earning more yet remain concerned about income stability, and both sides face a talent shortage that fuels competition. At the same time, the sector is wrestling with the implications of AI, workforce volatility, and a shifting employment model that privileges a small elite core while relying on a flexible, contract‑based periphery. As the industry continues to evolve, stakeholders will need to balance the benefits of cost‑effective outsourcing with the imperative to provide stable, rewarding career pathways for the creative professionals who bring games to life.