The other answers here pretty much nail the basic idea (it’s all about the amount of labor required), but I just wanted to add the point that AAA games are continuing to become more expensive to make as the level of detail required (quality and sheer volume of art assets) continues to increase compared to just 10 or 20 years ago. (See something like: [https://youtube.com/watch?v=bN7TiIZBc7g](https://www.youtube.com/watch?v=bN7TiIZBc7g) .) Some of the most successful games just 10 or 20 years ago would’ve had a small fraction of the team sizes of AAA games today.
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