All entertainment companies compete for the time of the consumer.
The cost of production increases as the cost of talent rises
Investors want a sure moneymaker so common practice becomes (whats making the most money the cheapest)
Investors want a sure moneymaker so the common practice becomes (whats making the most money the cheapest) It's how anti consumer models get green lit and why innovation slowly leaves a new entertainment market as the talent is consolidated and forced to STOP innovating to take less risk.
Examples would be how in America everything needs to be a super hero movie, or how the anime industry relies on a fresh set of horny teenagers every year to consume high school coming of age projects.
Eventually, the talent gets bought and the costs only ever increase which means there is no incentive for new competition to attempt to overpay for labor, and make a new style of entertainment to compete as the risk is very high.
A good example in the video games industry was Telltale, tellale games made some very unique stylized storytelling games but at the same time the industry was using twitch tv to promote games through para social relationships and they lost so many potential sales because people felt they already played the game by watching their favorite streamer. They went bankrupt.
A darker truth noone will tell you is also that early video games were really just a rotating series of benchmark tests that paved the way for large scale data centers and big companies would sink money into production studios because the goal was to test hardware with a large amount of users.
And we haven't even begun discussing the fact that the gaming market is broken up between target demographics, PC vs Console, and now even mobile. Or the fact that the amount of money these companies rake in are capped by the amount of discretionary spending the previous generation has to pass on to their children. Now that the industry has been around longer target demographics can hit 20-40's as their main source of entertainment but once again still capped by discretionary spending.