by Alexander Jun 13,2025

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.
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