Game Dev Tycoon Guide: Why Your Studio Keeps Going Bankrupt and How to Fix It

Game Dev Tycoon Guide: Why Your Studio Keeps Going Bankrupt and How to Fix It

You just spent five million dollars on a "Cyberpunk" RPG with amazing graphics. It's got the best engine you could build. You're thinking this is the one. This is the game that puts your little garage studio on the map and finally gets you out of the 80s. Then the reviews hit. 3/10. "A disaster." "Terrible gameplay." You’re bankrupt in three months. Honestly, it's brutal.

Game Dev Tycoon is a game about numbers, but it pretends to be a game about creativity. That's the trap. If you treat it like a pure simulation of the art of making games, you’ll lose. Every time. This Game Dev Tycoon guide isn't about telling you to just "make good games." It’s about understanding the hidden math that Greenheart Games tucked under the hood—the stuff that actually determines if your studio becomes the next Rockstar or ends up a forgotten footnote in a digital bargain bin.

The Early Game Survival Strategy

The garage phase is where most people mess up because they try to do too much. You have limited cash. You have zero fans. Your character has the skill level of a potato.

In these first few years, your focus isn't on "Masterpieces." It’s on efficiency. You need to pick Topic and Genre combinations that actually make sense. The game uses a compatibility system. Think about it: an Action game about Romance? Probably gonna tank. But an Action game about Aliens? That’s a gold mine.

The most important thing to remember in the garage is the 80/20 rule of sliders. When you’re making an Action game, you need to crank Engine and Gameplay. Don't worry about the Dialog. Nobody cares about deep lore in a fast-paced shooter in 1982. Conversely, if you’re brave enough to try an Adventure game, you better make sure those Dialog and Story sliders are maxed out, even if the Engine suffers.

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Why Your Second Game Always Sells Worse

It happens to everyone. You release a hit. You're riding high. You immediately start production on a sequel or a similar game, and it bombs. Why? Because the game tracks your "Previous Best."

The engine calculates your new score based on how much you improved over your last project. If you just released a game that generated 50 Design points and 50 Technology points, and your next game generates 48 of each, the critics will call it a "step backward." You have to constantly outdo yourself. This is why you should never put your best effort into every single game in the early stages. Save some of those research points. Don't upgrade your engine every single time. Pace yourself, or you’ll hit a "ceiling" where you can’t possibly generate enough points to satisfy the critics, and your scores will plummet.

Moving to the Office: The Hiring Trap

You finally hit a million bucks. You move out of your mom's garage. You’re a "real" developer now. Your first instinct is to hire four people immediately.

Don't do it.

Staff costs are the silent killer in this game. Every person you hire adds a massive monthly overhead. If you hire a full team before you have a consistent revenue stream from Medium-sized games, you will bleed out.

When you do hire, look for specialists. In the mid-game, you need a balance between Technology (Tech) and Design. If your team is all Tech-heavy, your RPGs will suck. If they're all Design-heavy, your Simulations will fail. You want people with high "Speed" and "Research" stats too, because sitting around waiting for a progress bar to fill is how you lose the console wars.

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Training Is Not Optional

I see people ignore the training menu constantly. They think, "I'll just keep making games." Wrong.

Between every project, your staff should be doing something. Reading books, attending seminars, or doing "Game Jams." This boosts their base stats. Higher stats mean more points per bubble during development. More points mean better reviews. It’s a virtuous cycle. If your team stays stagnant, the industry will pass you by as the "generations" move from the G64 to the NES-style consoles.

Crashing the Mid-Game: The Secret of the Sliders

Once you start making Medium and Large games, the sliders change. You can’t just wing it anymore. The game uses a "Development Phase" system where you allocate time to different departments.

Here is the "Golden Ratio" for the most popular genres that almost always guarantees a decent score if your staff stats are high enough:

  • Action: Stage 1: Engine (100%), Gameplay (80%). Stage 2: Level Design (80%), AI (100%). Stage 3: Sound (80%), Graphics (100%).
  • RPG: Stage 1: Story/Quest (100%), Gameplay (80%). Stage 2: Level Design (80%), World Design (100%). Stage 3: Dialog (100%), Graphics (80%).
  • Simulation: Stage 1: Engine (80%), Gameplay (100%). Stage 2: Level Design (80%), AI (100%). Stage 3: Sound (20%), Graphics (100%).

Notice how Sound is almost worthless in Simulations? It's weird, but that's how the game is coded. You're better off putting those resources into Graphics or AI.

You’ll see the "TES" (NES), the "Master V" (Master System), and eventually the "PC" (which stays relevant forever).

The PC is your safety net. It has a low market share early on, but it costs nothing to develop for. Consoles require a licensing fee. Don't pay the fee for a console that has less than 10% market share unless you are absolutely sure your game fits that audience. For example, the "Gameling" (GameBoy) is incredible for younger audiences and puzzle games, but if you try to put a hardcore Military Simulation on it, you’re throwing money away.

The "Trend" Mechanic

Eventually, news reports will pop up saying "RPG games are trending!" or "Casual games are out!"

Listen to them. If you release a game that matches the trend, your sales get a massive multiplier. If you release a game that is "out of fashion," you’re fighting an uphill battle. If you see a trend starting, stop what you're doing and start a project that fits. Even a mediocre game on a hot trend can outsell a masterpiece that nobody is looking for.

The End Game: AAA Titles and Your Own Hardware

If you survive long enough to reach the final office, you unlock AAA games. These are massive undertakings. You need a R&D lab. You need a marketing department. You need a lot of coffee.

The biggest mistake at this stage is ignoring the "Bugs." In a garage game, 2 or 3 bugs don't matter. In a AAA game, if you release with 10 bugs, the critics will crucify you. You must spend the extra time in the "polishing" phase until every single bug is gone.

Building Your Own Console

Is it worth it? Yes, but only if you have at least 50-80 million in the bank.

Creating a console—let’s call it the "Super Box"—gives you a platform where you don't have to pay licensing fees. But more importantly, you get a cut of "other" games sold on it (simulated by the game's economy). To make your console successful, you need to release "Killer Apps." These are high-rated games released specifically for your hardware. If your console is out and you haven't released a 9/10 or 10/10 game for it within a year, the hardware will die.

Advanced Tactics: The Multi-Genre Masterclass

Once you’re comfortable, start experimenting with Multi-Genre. This is unlocked through research.

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An RPG/Action hybrid is basically a license to print money. It allows you to use the high-point categories of both genres. You can have the deep story of an RPG and the high-end graphics of an Action game. Just remember that the "Development Time" increases significantly for these. If your team's "Stamina" is low, they will get tired mid-way through, their productivity will drop, and you’ll end up with a buggy mess.

Dealing with the "Game Over"

Bankrupt? It happens. The first time I played, I went broke because I spent $500k on an ad campaign for a game that wasn't even finished.

If you're near bankruptcy, take a "Contract Work" job. It’s boring. It doesn't build your brand. But it gives you immediate cash. It’s better to spend six months doing grunt work for other companies than to see the "Studio Closed" screen.

Actionable Steps for Your Next Playthrough

Ready to start a new save? Follow this specific sequence to ensure you don't hit a wall in the first hour.

  1. Stay in the garage until you have at least $2M. Don't rush the move. The overhead in the office is a jump from $8k to $30k+ per month.
  2. Research "Custom Engines" early. Your first engine should have "2D Graphics V2" and "Linear Story." That’s all you need to start hitting 7s and 8s.
  3. Alternate your focus. If you just made a "Tech" heavy game (Action/Sim), make your next one "Design" heavy (RPG/Adventure). This prevents your staff from getting lopsided stats and keeps the "Previous Best" calculation from scaling too fast.
  4. Save your Research Points for the "Medium Games" unlock. There is a "dead zone" around year 5 where if you haven't unlocked Medium games, you’ll start losing money because Small games don't pay the bills anymore.
  5. Marketing matters. Once you're in the office, always do at least a "Small" marketing campaign. It builds "Hype." Hype is a direct multiplier for day-one sales. No hype means you rely entirely on reviews, which is a gamble.

The real secret to this Game Dev Tycoon guide isn't a cheat code. It's patience. The game wants you to overspend. It wants you to hire too many people and build engines you don't need. Stay lean, watch the trends, and for the love of everything, don't make a "Casual" game for the "PC" unless you want to see your bank account hit zero.

Invest in your staff's Research stat first. It's the most powerful attribute in the game because it allows you to unlock better technology faster than the "AI" competitors. Better tech leads to better engines, which leads to the elusive 10/10 scores. Now, go build that studio.