This is what I think many have failed to grasp. T2, Epic, Roblox’s competition is going to be OpenAI, xAI, etc.
The big tech companies are already making interactive world models that will compete with game experiences.
This is why Mark Zuckerberg moved his bets away from XR and into AI.
That is the battlefield where cutting edge tech and the network effect will merge.
Games, AI, and tech are really part of the same network effect. Metcalfe’s law states that the value of a network is proportional to the square of the number of its users. In other words, the platforms with the most creators and players generate the most value.
When Wada-san predicted in 2004 that Networks will transform the game industry, he meant it from a technical perspective. But he knew, and I know because I spent a decade with him, that ultimately it was about the Network of players.
And so we return to the start. Games are no longer a content business. Square Enix knows it too, but the sun set on their opportunity to transition to a Network business. There were a few million players of Final Fantasy 16.
There have been 14.45bn lifetime plays of Grow a Garden so far, with 21m+ peak CONCURRENTS (meaning lifetime players substantially higher). Microsoft sees this too, which is why Everything (and thus Nothing) is an Xbox.
The future is unfolding before us, and given that we’re all free to spend our time as we wish (and are apparently spending it watching TikTok and playing Grow a Garden)
Metcalfe’s law is the future the majority of the audience have already decided with their wallets and time that they want for games. Apparently that's growing gardens on Roblox.