I wanted to respond to this because there's some truth to it. However, I think the mechanism of action is more layered and the outcomes varied so that both can be true.
So, yes, there are a lot of new video games because it's easy. It's also true that the most aggressively marketed and therefore quite popular games are bad. Mobile games now make up over half of the gaming revenue. This is a problem not of volume but of incentive. These popular games have created a cycle of [heavy monetization > more ads > more popularity]. They exploit people. This is a problem but a different kind of problem.
On the other hand, the indie games on steam have never been better. They're extremely creative, and fun, and they invent. They riff off each other. And most new things in gaming come first from here. The only thing not healthy about it is the lack of money they make. These games are so cheap that they have a hard time paying the developer's rent.
Platforms and cynical games with better marketing and monetization have stolen their lunch and poisoned their audiences.
The point is that bringing down the barrier of creation did allow much better creations. However, marketing and exploitation ruined a lot.
I won't go into it as deeply, but you can imagine the same pattern played out everywhere else.
YouTube has great content and would have more if it was more discoverable. It's hard to find because the algorithm made for maximizing marketing dollars suggests things that we don't tell the algorithm we want but what the algorithm thinks will keep us watching. It resists helping us. Because marketing money.
With these new generative models, we can imagine decreasing money needed to create but we will all compete for the same finite source of attention. Like with games, the good stuff will still be there, but it might be hard to find.
A positive sum game (creation) turns into a zero-sum game (attention auctions) with negative externalities (ragebait, mobile game addiction).
Those that control who gets attention will be able to soak up all the gains from the positive sum game. It's already been happening with app stores and google ads. And there's no reason it shouldn't soak up all the margin gains.
The enemy is not bringing down barriers - that's the good stuff. It's reining in marketing and attention platforms so that we can all benefit from these creations instead the benefits being greatly attenuated and, in some cases, made negative but the attention gatekeepers.