Here it is: The last Inside the Industry newsletter of 2025. Since we only have a few days to do so, I’d like to reflect on what the games industry looked like this year — the good, the bad, and the ugly. It’s been a tumultuous year for gaming, as we’ve seen major games disrupt the release calendar, the continuing trend of major layoffs and studio closures, and the injection of billions in acquisition money.
So let’s talk about that. Here are the ten biggest gaming news stories from 2025, in no particular order.
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Acquisitions unlimited, a.k.a. Wait, there were how many billions moved in 2025?
If you asked me which word I was most tired of hearing in 2025, it probably would have been “acquisition” or its variant, “acquired.” Seriously, where do I even begin? An investor group took Electronic Arts private for $55 billion. Netflix announced it plans to acquire Warner Bros. (including its games division) for $72 billion in equity. Scopely snapped up Niantic’s gaming division for $3.5 billion.
Think that’s it? Oh no. Tencent invested $1.25 billion into Ubisoft’s Vantage Studio, where it plans to work on its biggest franchises. Gunzilla acquired and resurrected Game Informer for an undisclosed sum. The numbers on 2025’s M&A charts are dizzying.
Grand Theft Auto VI was delayed…twice
I struggle to conjure any single game to mind that has a bigger impact on the market than Grand Theft Auto VI – and it’s not even out yet. Whole monthly calendars are arranged around this game’s potential release date, which make the day (or window, as the case was) something that would be quite convenient to know.
And then Rockstar and Take-Two delayed it once from fall 2025 to May 2026, then from May to November 2026. Needless to say, there were plenty of games rushing to fill the vacuums this delay left behind.
Layoffs and studio closures (yes, sadly, this is still a thing)
I wish I could tell you that 2025 saw the end of the flood of layoffs that we saw in 2023 and 2024, but unfortunately I can’t. Not only were thousands of layoffs, but we saw the closure of several studios and the cancellation of multiple games. For starters, we saw the closure of three studios from Warner Bros.: Monolith Studios, WB Games San Diego and PlayerFirst, as well as the shutdown of Monolith’s Wonder Woman title.
Then we got Microsoft’s layoffs, the closure of The Initiative, and the cancellation of Perfect Dark and Everwild. Then EA laid off hundreds of staff, including many at Respawn. Then Amazon fired hundreds from its own game division. Honestly, we could be here for a while.
The SAG-AFTRA strike and its resolution
This story is not solely from 2025, as the dispute between SAG-AFTRA and major video game companies began in 2024. However, the strike spilled over well into 2025 and was resolved this year, and the conversation around it was one that both affected and was affected by other major stories in 2025 – specifically, those about AI.
SAG-AFTRA’s reservations about a deal with major game companies stemmed primarily from concerns about the role AI would play in their jobs – whether it should play one at all, and if it did, what that role would look like. In June, SAG-AFTRA announced it had ratified a new Interactive Media Agreement with guardrails in place that protected performers’ rights in the age of AI.
Epic vs Google vs Apple
The Epic Games legal cases seem to have been dragging on for quite some time – I’ve been writing about them since before I worked for GamesBeat. But now it seems to have finally settled, and Fortnite is now back on iPhones and Android devices. Not only that, but Apple and Google are now being forced to open their walled garden gates.
The antitrust implications of Epic’s lawsuits have been thoroughly dissected even before 2025 – we all certainly had plenty of time to do so. But to see that now Apple and Google have to permit easier third-party app store downloads could potentially have huge implications for the mobile gaming market.
The Switch 2, Steam Machine and other hardware stories
First and foremost, the Switch 2 appears to have been a resounding success for Nintendo, having sold over 10 million units since it launched in June. Also, Valve announced a new Steam Machine, Steam Controller and Steam Frame VR headset, which has given the hardware market a jolt. The Steam Machine, in particular, looks like it might give gamers options (albeit not cheap ones) as an alternative to consoles.
That said, the hardware market has also seen some less-than-great news. Both Sony and Microsoft have hiked up the prices on their current-gen consoles, just as rumors have started to spread about work on their next-gen machines. Xbox has also apparently abandoned console exclusivity, beginning to roll its signature franchises on PlayStation in earnest.
Tariffs, price hikes and RAM shortages
Speaking of price increases, the games industry is reeling from the announcement that the United States will impose tariffs on imported goods. The conversation around tariffs has perhaps cooled a bit since the beginning of the year, but they have also been part of a larger conversation about pricing in the industry.
No two ways about it: Video games got more expensive this year. Mario Kart World alone debuted with an $80 price tag, and it surely won’t be the last. And just to put a big, expensive cherry on the year, RAM is increasing in price and becoming harder to buy thanks to increased demand from AI data centers. Will that have an effect on the development of next-gen consoles? We’ll have to wait and see.
Krafton-Unknown Worlds-Subnautica lawsuits
I’m not necessarily touting the appeal of tea-spilling in the games industry – I’m a respectable writer, darn it. But the dispute between Krafton and former employees of Unknown Worlds over Subnautica 2 has definitely felt more like some insider gossip at times. Have you read the legal papers? If I cover my ears and pretend that money and livelihoods aren’t on the line, then I might actually find the allegations humorously scandalous.
However, money and the livelihoods of several people are, in fact, on the line, which makes it a more serious subject than that. It also stirred up discussions about the nature of early access launches, creative freedom vs corporate interference, and what the founders of the company were entitled to.
Itch.io and censorship questions
Censorship is not a new topic in the games industry, but it became an especially pertinent one this year thanks in part to what happened on Itch.io. The gaming platform delisted all games marked as “Not Safe For Work,” seemingly in response to pressure from payment providers like Visa and Mastercard and an advocacy group.
The issue seems to have largely settled by the end of the year, but it’s not the only conversation about censorship that happened this year. Another game, called Horses, was banned from Steam and then later from the Epic Games Store (though it is still available on GOG, Humble and, funnily enough, on Itch.io).
Generative AI: All of the news that’s fit to print
AI was at the core of many of the stories in 2025, both within and without the games industry. Just look at how it features in several other stories on this list. So I don’t think I could contain the entirety of the conversation about generative AI in gaming in just two paragraphs. There are strong opinions both for and against, to put it mildly.
The main point of contention seems to be about genAI in game development – only recently, Clair Obscur: Expedition 33 had a Game of the Year awards stripped because they used generative AI in their development process. I can’t help but think it’s going to continue to feature in our headlines in 2026.
And with that, I’ll see all of you in 2026!
What’s coming next for GamesBeat?
We here at GamesBeat don’t just like video games — we see them as the massive business juggernaut that they are, and the backbone upon which a whole generation of entertainment is currently being built. It’s been an incredible experience, in my twelve years working in the industry, watching gaming grow from its own niche form of nerdy fun to the big shot from which even Hollywood takes inspiration.
So if you want to know what the future holds for the games industry — and you should — then come and see us at future GamesBeat events! We’ve wrapped up our 2025 calendar, so come and see us in 2026 for a new collection of events!