New Games Struggle as Fortnite and Live-Service Titles Dominate, Says Analyst

According to Circana analyst Mat Piscatella, new games struggle because they are overshadowed by industry giants like Fortnite. He explains that many people in the gaming world accept the dominance of big live-service games but rarely consider them as the reason why new titles fail to find an audience.
New Games Struggle to Stand Out
Piscatella states, “New games struggle (imo primarily) because there’s no air for them to breathe. The biggest competitor to any new game is Fortnite.”
He further elaborates: “Over 60% of new video game buyers in the US will buy a new video game once every 6 months – or less frequently.”
Additionally, over 75% of gamers say that the most important factor in choosing a game is that it is free. The second most influential factor is that more than 65% of gamers say regular free updates encourage them to keep playing.
The Power of Established Games
To illustrate his point, Piscatella refers to data from Circana’s Player Engagement Tracker, which shows the top 2,000 most played games on PS5 in the U.S. in December 2024. He notes that the rankings are similar on Xbox Series X/S and Steam.
He uses an analogy to clarify his argument: “Your new soda didn’t flop because the can was the wrong color or the ads weren’t great. Your new soda flopped because Coke and Pepsi suffocated them.”
Finally, Piscatella points out that his audience—gaming enthusiasts and industry professionals—does not represent the average consumer, who has very different preferences.