The lack of new console technology is to blame for the current software sales slump as developers aren't feeling inspired to come up with creative new ideas, claims Ubisoft's CEO.
Talking in an interview with MCV, Yves Guillemot explained that although Kinect, Move and the 3DS were helpful, what the industry really needed was a new generation of home consoles.
"Yes, the accessories and handhelds are really good, but I think it would be great for the industry to take advantage of technological advancements.
"Processors are more and more powerful, graphics cards have moved on, there are many technologies that would help us deliver a better experience and help the industry to grow."
When it was pointed out that this is the longest gamers have had to wait for new hardware since Ubisoft started doing business, Guillemot replied "That's right, and that's part of the reason why the industry is in depression. Consumers like the current formats, but there is not enough creativity at the end of a cycle to really spark the business."
Elsewhere in the interview, Guillemot explained that the current industry downturn was a helpful reminder that publishers needed to be innovative to succeed.
"There was a slowdown in the market and it did put pressure on all publishers," he said. "The market fell suddenly; it went from plus 25 per cent to minus 10 per cent.
"On top of that, the DS became more competitive and more pirated and that had a negative effect on us. On the DS alone we went from €300m with a big profit to €100m with a big loss.
"But this period was a good kick in the arse for us – a reminder to do better, to be more innovative."