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"AAA Games' Demise Foretold by Space Marine 2 Studio Head"

by Alexander Jun 13,2025

"AAA Games

Recently, Matthew Karch, the CEO of Saber Interactive, shared his thoughts on the evolving landscape of the gaming industry. Known for leading the team behind *Warhammer 40,000: Space Marine 2*, Karch expressed a bold viewpoint regarding the future of high-budget AAA titles.

In his opinion, the days of blockbuster games with budgets reaching $200 million to $400 million are numbered. “I think the era of $200, $300, $400 million AAA games is coming to an end,” he stated. “I don't think it's necessary. And I don't think it's appropriate.”

Karch went on to suggest that these massive development costs have had a negative impact on the industry, particularly in terms of job stability. “I don't even know the best way to put it... 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].”

This sentiment reflects a growing belief among developers that the term "AAA" no longer holds its original meaning. Once used to signify top-tier production values, large budgets, and high-quality experiences, the label now often represents a cutthroat race for profit at the expense of creativity and innovation.

Charles Cecil, co-founder of Revolution Software, echoed this perspective, calling the phrase “silly and meaningless.” He argued that as major publishers began investing heavily in triple-A projects, the industry shifted—though not necessarily for the better.

“It's a meaningless and silly term,” Cecil remarked. “It's a holdover from a period when things were changing, but not in a positive way.”

One notable example cited was Ubisoft’s *Skull and Bones*, which the publisher described as an “AAAA game”—a sign that the industry may be pushing beyond traditional boundaries, yet still struggling to balance ambition with sustainable development practices.