The video game industry is facing a crisis of funding, particularly for mid-market games. The once-thriving double-A studio ecosystem, where games were heavily funded by publishers, is drying up. This is due to a combination of factors, including rising interest rates, a flooded market with low-quality games, and a shift in publisher priorities. The collapse of funding has led to a shrinking scope of games being pitched, with many studios closing or downsizing. The industry is now at a crossroads, with a need for innovative funding models and a reevaluation of the market's priorities. The future of mid-market games hangs in the balance, as the industry grapples with the challenges of the current funding environment.
