Exploring the Video Game Industry’s Landscape: Emotions, Partnerships, and Prospects from GDC 2025

Last year in the video game industry, everyone seemed to hold onto a mantra: “Survive ’til 25.” The year was rough, marked by layoffs and a general sense of despair. Hopes were high for a better 2025, but so far, it seems that last year’s optimism might have been overreaching. However, amid the buzz at the 2025 Game Developers Conference (GDC), there’s a glimmer that things might finally be looking up.

That renewed hope was the underlying message of GDC this year, where connecting with colleagues took precedence over scouting new games or chasing scoops. Attendees seemed to collectively acknowledge the industry’s current struggles, but there was a noticeable shift towards optimism — a stark contrast to the jittery atmosphere of 2024.

The Moscone Convention Center, home to the expo halls, felt noticeably smaller this year. Major players like Unity and Epic Games skipped booths, casting a shadow over the event’s scale, much like the later E3s when giants like Sony and EA held off-site events, making the main venue feel unexpectedly empty. The thinning crowds were just as conspicuous as the scaled-down show floor.

Let’s be candid: the industry itself has contracted, driven by executives chasing profits, mishandled company affairs, and the overextension during the pandemic boom. A simple walk around GDC, with its sprawling hotel lobbies and cafes, painted a clear picture of this reality.

Other factors contributed to the quieter gathering, too. GDC badges are costly, and with everyone tightening their belts, it can’t help but seem an extravagant expense. Official attendance figures imply stability, mirroring last year’s numbers. Yet, GDC has always had a second, shadow conference. Those without tags often fill the cafes and hotel rooms, sharing new game ideas over a latte or a quick demo on a Steam Deck. This year, even they seemed fewer.

The global situation certainly plays into it, as professionals from various corners of the world reconsider travel in these unpredictable times. Despite this, there’s a subtle feeling of change — a quiet yet persistent buzz at the conference edges. Unlike the existential gaps at E3, GDC’s shifts feel more like a natural generational change, with business-as-usual continuing in private meetings, noisy dinners, or lively lobby bars. The shrinking spectacle doesn’t seem to affect the event’s core engagements.

For many taking those crucial meetings, the reduced size wasn’t necessarily a drawback. A few executives I spoke to casually, off the record, seemed satisfied with their stint at the event, suggesting that a smaller, more focused environment can streamline meaningful interactions. Developers, even those from companies recently hit by layoffs, echoed a newfound optimism.

“I’m feeling more hopeful,” one developer shared during an evening catch-up. Reflecting on past struggles, they remarked, “Last game, it seemed a miracle we shipped. But now, I feel like I’m on the right track. My new project’s starting strong. It’s a world of difference.”

While concerns linger in the West, developers from the East have a more positive perspective. One Japanese developer mentioned they found it difficult to resonate with the worries expressed by Western peers, explaining, “Things are pretty great in Japan.” This highlights an emerging reality — Japan is making strides, and China is on the rise, which urges the West to rise to the occasion. Encouragingly, this year’s positive energy hints this is underway.

Overall, at GDC, the spirit of gaming felt more vibrant. Meeting old acquaintances brimming with enthusiasm about new projects was a refreshing change from their previously dejected demeanors 18 or 24 months back. While the harsh realities of the industry — like job hunting after being let go by a profit-minded exec — still loom, the creative joy in gaming shone through. Art and expression found a place in happy faces, innovative control schemes were on display, and an awards ceremony celebrated a diverse industry. Importantly, while the dangers of AI and layoffs were highlighted, these issues were called out with a forceful yet empowering spirit this year.

Collaboration was a standout theme. The industry saw Nvidia, AMD, and Intel share a stage, presenting cutting-edge graphical advancements from their combined efforts. Major gaming publishers, too, united under the ESA to launch an impressive accessibility initiative, signaling a collaborative drive to push the medium forward.

Certainly, amid the celebrations, serious topics were inevitably discussed. Debates on tariffs, company exposures, and preparedness are rampant. AI, too, sparked lively conversations, ranging from promising tech like Nvidia’s AI performance enhancements to concerns about job threats and questionable outputs. Thankfully, the web3 buzz seems to be settling, disappearing quietly rather than dramatically imploding.

Job security was a central issue, yet the shift in response is noteworthy. Where last year’s GDC roared with frustration, this year channeled that energy into a loud protest march advocating for unionization, marking the launch of a new empowering union. That transition captures the change best: the anger is now being directed into structured demands, calling out the flaws while developers get back to crafting exciting, new games.

Many I spoke to still carried a bit of nervousness, but the outlook is decidedly less toxic than before. After a year of just hanging on, the intention for 2025 seems clear: compel those with power to foster something genuinely better.