Matthew Karch, head of Saber Interactive, recently shared his perspective on the future of the gaming industry, predicting the decline of the high-budget AAA game model. He stated, “I think the era of $200, $300, $400 million AAA games is coming to an end. I don't think it's necessary. And I don't think it's appropriate… I think if anything has contributed to job losses [mass layoffs in the game industry] more than anything else, it's a budget of a few hundred million dollars [for games].”
The term "AAA," once signifying high-budget, high-quality, low-risk projects, is now viewed by some developers as outdated and even detrimental. It’s become associated with profit-driven competition that compromises quality and innovation.
Revolution Studios co-founder, Charles Cecil, echoed this sentiment, calling the term "silly and meaningless." He attributes the negative shift in the industry to the massive investments made by major publishers, citing Ubisoft's Skull and Bones (marketed as a "AAAA" game) as a prime example of this trend. Cecil argues that "It's a holdover from a period when things were changing, but not in a positive way."