Former Santa Monica Studio director Meghan Morgan Juinio believes the gaming industry’s obsession with massive triple-A productions is fueling layoffs, cancellations, and studio closures across the industry.
Speaking to Game Developer at Gamescom Asia, she said the biggest publishers need to diversify and start backing smaller projects to secure a sustainable future. Morgan Juinio, who left Sony’s Santa Monica Studio in June after more than a decade, said the industry has been chasing short-term trends since the pandemic, rather than focusing on long-term health.
“I think there’s an opportunity right now for all of us, at any level, to really look at the strategic long-term view—and that might be five or ten years—[in order to course correct] because of the ‘seize the moment’ type decisions that came out of the pandemic,” she said.
Developers and players are “desensitized” to graphics and scale
While she still believes in the value of blockbuster franchises like Call of Duty and God of War, Morgan Juinio argued that large publishers need to also “diversify into double-A and single-A, and then perhaps indie as well.” She said this shift could help balance creative output and financial stability, adding that companies should “look beyond the knee-jerk reaction of the pandemic and post-pandemic couple of years and really think about who do we want to be.”
Referring to games such as Astro Bot and Split Fiction, she said players are increasingly drawn to titles that prioritize fun over spectacle. “If a game isn’t fun, it doesn’t matter how pretty it is,” Morgan Juinio said. “Gamers right now are a little bit desensitized to beautiful graphics and size and scale and scope.”
Despite industry-wide layoffs and instability, she remains hopeful. “I inherently believe in the power of creativity and innovation in our industry,” she said. “Even if the powers that be structurally change or completely get upended, there is still a demand out there for great games.”
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