Even CD Projekt Red, which is based in a low cost of living country spent $81 million developing The Witcher III. A small studio with a $2 million budget has absolutely no chance of making something that players who expect The Witcher III will think is good enough.
And as technology (and budgets) progress, gamers expect more. More art, more story, more quests. The kind of content that we are nowhere near auto-generating.
1. I shouldn't say can't be made--can't be made up to the standards players expect. No Man's Sky and other games have tried, but procedural generation just doesn't come close to matching the quality and detail of more hand crafted open worlds.
https://store.steampowered.com/app/445220/Avorion/
Its considerably small and limited in scope, yet game progression feels rewarding enough that some people (me included) have clocked hundreds of hours doing it.
This is the kind of game I feel we need more of. Small games focused on limited number of features, continously improving those features.
So the power comes not from the customers but from the investors. Because investors will bring money for developing these products and they will do so with the very intention to influence the market to their own advantage. And these people want a more and more centralized monopoly around their source of income.
That's why companies like Blizzard get worse and worse, they don't care if they lose their current player base. They can gain another and make their investors more happy with that.
That's why a company like EA exists for so long and is so successful.
The market is not getting better but worse. The more easier to use and open worldy and better graphics the AAA titles get the harder it becomes to find players and investing for your indie titles. Probably we will also see that regulation will set in more and more, creating real legal requirements to sell games.
Indie games will always exist. Like indie movies, and indie music. But they will make less and less money, get less and less actual funding, and become more and more a personal hobby and art form.