- Share prices are down heavily over five years
- Balance sheets being shored up
Video game developers are making inroads with cutting costs as they battle through the sector’s post-pandemic comedown. But analysts have warned that growth will be muted as the recovery takes shape.
Industry performance tumbled following the lockdown gaming boom, as game supply outstripped demand. Microsoft (US:MSFT) disclosed a 31 per cent drop in Xbox hardware revenue in its third quarter, due to fewer console sales, highlighting the challenging backdrop. At the same time, development costs have mounted and game price growth has been weak.