Kotaku: "News of game developers slashing thousands of jobs this week and shutting down studios, seems to dispute the notion of a recession-proof video game industry.
But video games are indeed recession proof, it's the developers and publishers who aren't.
"A recession is about the impact on sales, and layoffs are a function of profitability," said Wedbush Morgan Securities analyst Michael Pachter.
The reason Microsoft is cutting 5,000 jobs, Sony is promising across the board lay-offs, Eidos is shuttering studios and Electronic Arts just let more than a hundred people go is because they've made some bad decisions, Pachter said. Not because their games aren't selling."