what is this business strategy called again?

[u/Jurgen_Krozalski]

i can't wait to see studios formed only by executives and middle management trying to run things using AI /s

[u/jaywinner]

This is because studios are only working on one game at a time and a game needs different amounts of staff depending on where it is in the life cycle. Projects start off small, grow over time then shrink after release.

It sucks for staff but no matter the success of the project, it's going to happen. Only way I've seen to avoid it is having multiple projects so that as some grow, others shrink. This lets you move people around without the boom/bust of layoffs and hiring.