Video game industry layoffs, AI ethics are top concerns for workers, new survey says

polygon.com:

Each year, the Game Developers Conference publishes its State of the Game Industry report — a survey that asks thousands of game developers about the industry and their own work. It’s no secret that 2023 was a challenging year for the video game industry, even after major bestselling game releases, like The Legend of Zelda: Tears of the Kingdom and Baldur’s Gate 3. Independent, community-driven estimates suggest that more than 10,000 game developers may have been laid off last year, up from more than 8,500 workers in 2022. Thousands of workers across video game companies and adjacent workplaces have already been let go in 2024 as the industry grapples with how to move forward.

The GDC survey covered much, much more than layoffs; in the 37-page report, GDC researchers analyzed data related to generative AI, accessibility, demographics, and return-to-office mandates, as well as other topics.

GDC researchers found that one-third of respondents had been impacted by layoffs in 2023, and half of the more than 3,000 respondents were worried that more were to come. The reasons cited by workers included “post-pandemic course correction, studio conglomeration, and economic uncertainty,” according to the report. Though 2024 seems to be already outpacing 2023 in terms of the rate of job losses, Omdia research director Dom Tait said in the report that industry forecasts suggest “steady growth” through 2027, meaning employment should stabilize.

“The most striking observation derived from job losses in the industry – naturally a pressing concern for many,” Tait said. “Among the insightful developer comments on the subject was the following: ‘Studios grew too quickly during the pandemic.’ This statement is borne out by games industry data, which shows a COVID driven hump of extra revenue in 2020 and 2021, collectively totalling about $50bn over expected figures. But 2022 and 2023 showed a reversion to the spend trendline seen prior to 2020, thus this reduction in headcount is