I wouldn't call this a gyration. In my opinion the AAA gaming industry has been declining for at least 10 years, with fewer (SP) titles being released, and even fewer of those being great. Even if the sales don't reflect that decline, because sales are influenced by many outside factors as well. Like the 2020-2023 lockdowns being a huge artificial boost, that hid the decline.
I think the AAA industry instead of being to big to fail, is too big to succeed. In order to justify 200-300 million $ budgets they are trying to figure out how to appeal to everyone. Which is impossible, the more people you try to scoop up the more will escape between your fingers. Bring back more focused experiences make games for specific niches don't try to one size fits all it. Games that appeal to everyone aren't made, they happen, if you get my meaning.