Virtual Economy
Since 2022, the industry has slid into chaos and disarray, with developers and players abandoned by platform holders and publishers. Now, we’ve reached a tipping point, and only we can rescue ourselves. We’ll discuss Microsoft’s self-inflicted destruction, Sony’s anti-preservation attacks, and the ESA’s assault on consumers. Also: Steam Machine pricing, Krafton cowed, Ubisoft makes a catastrophic leadership hire amidst layoffs, and Ryan Cohen’s toilet thoughts become part of government record. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS ...
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Between GameStop and Ryan Cohen’s clownery and new Xbox leadership’s 100-day death march, it’s another grim moment for the game industry. Former OpenAI head (now Xbox CEO) Asha Sharma laments the hardware crisis caused by… AI. We’re all trying to find the guy that did this, after all. Look… Sharma is no doubt a sin eater, but as she perches herself on the glass cliff, how many people will suffer? Also: Ubisoft attempts to embargo news of studio closures and layoffs, Destiny 2 rides into the sunset, and… it’s earnings time, so we get to talk about why profits don’t save jobs....
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Ryan Cohen was only offered store credit as trade-in value for his time as GameStop CEO, so he’s trying to buy eBay in one of the most foolish business moves we’ve ever seen. Also: Circana Report on U.S. Video Game Spending for March 2026, Microsoft, EA, Remedy, Earnings, the latest labor happenings, and Pearl Abyss dumps CCP for half of what it paid for it. Half Cash, Half Stock. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS [00:01:41] - Circana Report on U.S. Video Game Spending for March [00:15:42] - Microsoft Q3 FY26 Earnings,, and ...
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With Epic laying off 1,000 people, the game industry job market has gone from “extremely chilly” to “nearing absolute zero.” Also: a recap of GDC’s challenged year, Circana Report on U.S spending for February 2026, some interesting new investments, NetEase divestments, and a heckin’ FAFO. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS [00:00:50] - GDC 2026 Recap [00:25:51] - Circana Report on US Video Game Spending for February 2026 [00:35:02] - Nintendo Sues US Government Over Tariffs [00:36:55] - Pokemon Company v. US Government [00:38:24]...
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This was supposed to be a show just about earnings. All we wanted to do was cover the earnings… but Sony closed Bluepoint, Nintendo is releasing $20 Pokemon ROMs, and Microsoft appears to have ousted Phil Spencer and Sarah Bond. Every first party is stepping on rakes. Get your coffee… this is gonna be a thing. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS [00:01:01] - Circana Report on US Video Game Spending for January 2026 [00:06:51] - Microsoft Earnings Report for Q2 FY2026 [00:16:39] - Sony Earnings Report for Q3 FY2026 [00:25:46] -...
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Ubisoft employees are prepared to strike over a recent return-to-office mandate and extreme cost-cutting. Also: Circana Report on U.S. Video Game Spending for December 2025 and full year 2025, That’s No Moon at odds with former founder, Amazon Games suffers another blow, and Ashes of Creation dev Intrepid implodes. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS [00:01:04] - Circana Report on U.S. Video Game Spending for December 2025 and Full-Year 2025 [00:12:00] - That’s No Moon Co-Founder Causes $1M Problem [00:21:09] - Valve Faces Down Another...
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2026 is putting us through our paces right out of the gate. We’re hanging onto hope, but layoffs, consolidation, and private equity loom over us like a shadow. On this episode: an update on Paramount’s desperate fight for Warner Bros. Discovery, Saudi Arabia moves video game holdings, and VR’s challenges get much larger. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS [00:02:35] - A conversation about hardware prices [00:10:16] - Paramount sues Warner Bros for Netflix deal details [00:15:39] - Investment Interlude [00:24:13] - Quick Hits [00:28:07]...
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2025 has continued the trend of layoffs, consolidation, and privatization. The gulf between AAA and everyone else is widening, as the AI bubble strains before an inevitable burst. With November’s Circana report coming in bleak after months of stronger performance, 2026 will continue to challenge us all. BUT... there is reason to hope. Unions are growing in number and reach and studios doomed by AAA mega-corps are finding a way to survive. We need to stick together to not only survive, but thrive. You can support Virtual Economy’s growth via our and also purchase! TIME STAMPS ...
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Warner Bros. is selling itself like a $1.50 hot dog at Costco, and everyone wants a bite. Before the weekend, Netflix looked like it had a clear path to regulatory review. But now, New Paramount is taking a swing with a hostile takeover. Things are about to get ugly. Regardless of who wins, though, we lose. Consolidation continues and consumers pay the price. Also: Nintendo, Square Enix, Take-Two, Embracer Group, and Sony earnings; Circana’s report on U.S. video game spending for October 2025; and another grim labor report. You can support Virtual Economy’s growth via our and also...
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We’re joined by two special guests on this milestone episode. Please welcome Andy Pan (the only person who has previously co-hosted a show with us) and Greg Alderton, Virtual Economy’s lead moderator! With 14,000 people laid off, studios shuttered, and projects abandoned, Amazon seems ready to give up on most or all of its gaming dreams. Also: EA earnings ride off into the sunset, Capcom posts a strong quarter, Remedy’s in trouble, and Microsoft is inscrutable. Also: Sony responds to Tencent’s request to dismiss the Light of Moritram lawsuit, Circana report on U.S. video game spending...
info_outlineThe year has begun, and the industry is already off to an intense start. On this episode, we discuss the business decisions behind the Switch 2’s departure from “Weird Nintendo,” Ubisoft’s precarious position, the U.S. ruffling Tencent’s feathers, and the Consumer Financial Protection Bureau’s move to regulate premium game currency.
You can support Virtual Economy’s growth via our Ko-Fi and also purchase Virtual Economy merchandise!
TIME STAMPS
- [00:03:27] - The Switch 2 has finally been announced
- [00:19:11] - The United States labels Tencent a military asset
- [00:22:16] - The U.S. Consumer Financial Protection Bureau turns its eye to premium game currency
- [00:26:15] - The U.S. Federal Trade Commission sets new precedent regarding sales of loot boxes
- [00:37:16] - Investment Interlude
- [00:48:47] - Quick Hits
- [00:54:39] - Labor Report
SOURCES
- US designates Tencent and CATL as Chinese military companies | The Verge
- LFG (Looking for gamers): CFPB wants to hear about your video game loot | Consumer Financial Protection Bureau
- CFPB Seeks Input on Digital Payment Privacy and Consumer Protections | Consumer Financial Protection Bureau
- Banking in video games and virtual worlds | Consumer Financial Protection Bureau
- Genshin Impact Game Developer Will be Banned from Selling Lootboxes to Teens Under 16 without Parental Consent, Pay a $20 Million Fine to Settle FTC Charges | U.S. Federal Trade Commission
INVESTMENT INTERLUDE
- Ex-Annapurna Video-Game Staff to Absorb Former Take-Two Indie Label | Bloomberg (Paywall)
- Strategic Update | Ubisoft
- ANALYSIS: Ubisoft Faces Its Most Challenging Year in its History | Insider Gaming
- Tencent, Guillemot Family Said to Mull Ubisoft Asset Venture | Bloomberg (Paywall)
- NetEase pulls funding for another studio: Former Halo Infinite design head says Jar of Sparks is 'halting work' while it looks for a new publisher | PC Gamer
- Maximum Entertainment divests Merge Games assets to Silver Lining | GamesBeat
LABOR REPORT
- Suicide Squad: Kill the Justice League developer Rocksteady hit by end-of-year layoffs | Eurogamer
- The First Gaming Layoffs Of 2025 Have Happened | Insider Gaming via YNA
- EXCLUSIVE – Cloud Imperium Games Undergoes Major Shake-Up to Hit Deadlines | Insider Gaming
- GameStop is Silently Shutting Down More US Stores | Insider Gaming
- Robocraft 2 developer Freejam shuts down | Game Developer
- Splash Damage is Ending Development on Transformers: Reactivate and Scaling Down | Splash Damage on Twitter
- Toadman Interactive has been Closed by Daybreak | Senol Kandemir on LinkedIn
- Microsoft conducts 'small' layoffs across various divisions | Game Developer
- VR studio Soul Assembly has laid off 15 percent of its workforce | Game Developer
- Group Customer Harassment Policy | Square Enix
- STJV union calls for extended strike at Don't Nod with layoffs looming | Game Developer