I think it has fractured more than anything. At the same time AAA games are dying out and becoming just as soulless and crappy as everything else, a lot of particular genres are going strong or even coming back (RTS is having a renaissance right now). And there have also been a ton of indie and AA-tier games being made that are better than many of the AAA titles out there.
Which is why I would insist that Gaming is still at its peak. It only looks bad if you limit yourself to AAA.
I think it has fractured more than anything. At the same time AAA games are dying out and becoming just as soulless and crappy as everything else, a lot of particular genres are going strong or even coming back (RTS is having a renaissance right now). And there have also been a ton of indie and AA-tier games being made that are better than many of the AAA titles out there.
Which is why I would insist that Gaming is still at its peak. It only looks bad if you limit yourself to AAA.