Casual and especially hypercasual are not doing well these days. User acquisition costs are going up and ad revenues, which are their primary source of revenue, are dropping. Many companies in the space are struggling.

Hyper-casual games are known for their simple mechanics and reliance on ad monetization, known as Ad Arbitrage. Rising CPI rates are making this model less profitable, prompting a shift towards greater emphasis on In-App Purchase (IAP) revenues. This has led to the emergence of hybrid casual games, which rely more on IAP revenue compared to hyper-casual games.

While this has been a trend in the past, hypercasual gaming as we knew it has declined drastically. The decline has primarily been driven by a tsunami of changes in the mobile advertising ecosystem - from eCPM inflation on ad platforms to deprecation of IDFA and tighter privacy rules on both platforms. Today, some leading publishers are shifting into hybridcasual, i.e. games with a "hypercasual look", covered with a deeper meta gameplay and more core monetization mechanics, such as battle passes and multi-layered progression systems. These have proven to keep users engaged and come back for more experiences. Amazing examples of that would be Dreamdale by Say Games or Ancient Battle by Lion Studios.

Making money in hyper-casual is very hard now a days. Every studio is facing challenges in retention while making these games.

This is a part of the gaming space I am particularly bullish on. Building a community that can connect and engage one another will always have users coming back. They come to not just play the game, but to connect with friends. Creating a safe space with well-structured moderation, intuitive matchmaking and the ability to communicate and connect on a level that feels both natural and fun. Community either in game or surrounding the game is what I believe drives success or failure.

Developers need to think 'social' from the get-go, integrating it into the core gameplay loop. It's not enough to tack on social elements as an afterthought; they should be as fundamental to the experience as the core game mechanics themselves.

Looking at popular open world experiences, we are seeing creators mirror the real world. Making simulacrums of what they see everyday, including social spaces like clubs and stores. These spaces seek to mirror, and gamify, player interactions. Creators need more tools to make these experiences social and ambient. Video, chat, and of course - music.

It is the game-play that creates hooks - gamer reads the paths of the game designer. Friends or new anonymous gamer-acquaintances, social behaviour can be designed and controlled for that common interesting goal. From LAN games, to Farmville, to PokemonGo or simply The Place on Reddit, Discord et all social gaming concepts have thrived. Organisations bringing in social gamification for spends have lessons to learn from inaction and absence of data points. Eg: GooglePay never realised its nudges for LPG utility never worked because it is not used in large cities. So making it mandatory for next levels is a killjoy.

Socializing a game can be a more challenging process for developers, but it yields substantial impacts on monetization and player retention. It expands opportunities for in-game item sales, easing monetization efforts and extending playtimes. However, it also demands more investment in back-end development, devops, and community management. This approach differs significantly from casual games, requiring a distinct skill set. Success hinges on a well-crafted back-end and effective matchmaking to maintain competitiveness and enjoyment for players.

As much the industry 'feels' bullish on AR/VR/XR courtesy of Apple & Meta, historically AR for mobile game hasn't stuck super well. Even Pokemon GO is hailed as an 'AR success story' but I haven't met a single player who keeps the AR feature turned on. For most mobile gamers, it's a nice to have but the on-screen experience will likely continue to be far more popular.

The future of VR games is closely tied to advancements in technology and the widespread adoption of headsets, but the potential is immense. It offers users an entirely novel experience, allowing them to immerse themselves in games like never before. This opens up exciting new opportunities for game developers. In contrast, AR requires more imaginative applications to fully realize its potential. It's a technology with tremendous possibilities, but creative approaches are needed to unlock them. As for AI, it's a relatively new frontier for game developers, holding significant potential for creating entirely fresh player experiences. This intersection of technology and gaming promises to shape the industry in exciting ways.

Absolutely, using games directly as an educational tool can be incredibly effective. People naturally enjoy spending time playing games, and when you incorporate the fundamental elements of a game—such as mechanics, fun, and even an element of competition—it can become a powerful educational tool. This is particularly true for kids, as it allows for learning while maintaining their attention, which can be a challenge. However, it's worth noting that even for adults, gamified education offers a way to learn without the typical feelings of boredom or monotony.

Building a game that's cross-platform is key for social interaction. If players can only connect with friends on the same platform, you're putting a cap on how social your game can be. Make your game cross-platform from the start, and you'll make it easier for communities to form. This is what enabled Fortnite and Roblox to be so successful as social experiences.

It will be interesting to see how the current debacle with Unity affects gaming on mobile phones, as many of these are free and rely on ads more so than user subscription - the premise being that people would rather endure an advertisement rather than pay. Monetising of previously free platforms is not new, but has not until now affected gaming. It may be that this needs to be addressed first, as a serious issue needing critical thinking before development across multi platform participation can be a thing.

As a gamewright and being new to the industry (my artistic skills crossover from other disciplines and genres) I am finding it curious that my letters of introduction to gaming companies are met with silence or "no vacancy - apply later - we don't keep your letter on file". This seems to be a game in itself. How will ideas for new games be replenished? How will the narratives, game elements and the very feel of games evolve without rich and creative ideas as their source? AI? Good luck with that studio owners!