Alright, i'll try and give some insight with a little tact.

fundamentally evil. We are selfish and depraved

Those are all subjective terms. One man's perception of evil is another person's perception of decency.

What we crave most is domination and supremacy over others

No. While it's possible to induce sadistic behavior in almost everyone, it is by no means the primary motivator of every single person. Motivation appears to stem from the desire to be important rather than the desire to hurt others.

For thousands of years we have fought against out nature and developed morals, compassion, etc.

Also untrue. Some of the worst things in history have happened in the last hundred years or so. After those "thousands of years of developing morals and compassion".

The following is just my opinion:

The reason why gaming is so fucked up is because of capitalism. In a capitalist system, your self-worth is defined by two things. Your job and your wealth.

Generating more profit from a computer game will most likely result in praise from your fellow workers and boss. As well as a nice pay raise and a feeling that you did your job well. These things are what motivates most workers.

Unfortunately, it also discourages improvements which don't increase profits. If you improve something and it doesn't increase profits, you'll be ignored. If you try and improve something and mess up, you'll be penalized. Such a situation means that it's always in the best interests of a worker to try and improve profits at all costs while ignoring trying to fix things that don't create a profit.

Disclaimer: I'm not a socialist/marxist/communist or whatever, i'm just pointing out the impact of capitalism on the gaming industry.