got to watching the henry stickmin franchise again, I realised how true this still holds. think about your favorite game franchises of all time; Mario, Mortal Kombat, Doom, even plot-heavy franchises like metal gear or COD started relatively simple. simple mechanics, simple stories, a simple gameloop.
This lowers the cost of development and in turn the cost to the player to try something new. If players see something they like, they'll be more likely to spend more on the sequel, and in the meantime, word of mouth advertising can get the game going.
rather than spending literal billions trying to get a new ip off the ground, studios can spend significantly less money trying new concepts and introduce more complexity as time goes on, rather than trying to hit the ground running.
No, but you can embezzle 1m from 100 1m dollar projects, lol. And it's harder to track that way