Never believe a word of this. The cry of poverty is the biggest lie of all. The majority of American game companies are making millions dodging taxes. I have a hard time believing they’re too poor to make games without double or triple dipping.
If companies are losing money, then it’s because of their over-bloated budgets and hilarious lack of business acumen. We’re living in an age where every big budget game can decimate a company if it doesn’t make massive profits. Publishers will accept nothing less than exponential profits, and that leads to the overpriced, over-produced, underdeveloped games we see again and again. The cost for “failure” is so high because of their own actions. These bloated budgets necessitate the predatory behavior we see in the industry. Poor budgeting means every game could be their last.