End of the day there is no way this makes a profit for the company. Giant dev teams corporate bloat, massive or campaigns cost more than ever. The only AAA games that make money are the very best sellers
The break even point for $100 million AAA game is ~3 million in basic box sales. That's not a particularly high bar for a good, but not great game, but almost every studio has two major problems:
1. Most aren't making good games. 85% of AAA players are men. Most men don't want to play games with a "boss bitch" lead. Particularly not a lesbian nog, boss bitch. Black women have a negative mass market value. It is what it is. Furthermore, I'm not going to beat the dead horse, but we also don't want alphabet mafia, communist/marxist, colonist-apologist, etc. social issues in games that couldn't be any further removed from Earth 2024. Even in games set in the modern era, fuck your activism and that includes conservativism. None of it belongs in games.
2. I've said it before, but studios are carrying a HUGE amount of employee dead weight. Ubisoft is a prime example of this. They employ thousands of people, but still have to contract competent white men at ridiculously inflated rates to finish games. I suspect that most studios could cut a full third of their staff and it would have ZERO impact on production. In fact, dumping the theys, zers, shaniquas, and the rest of the completely useless DEI vampires would almost guarantee an improvement in production.
Suddenly, your $100 million game is now $60 million and the odds you stay afloat to make another game go up exponentially.