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Simple solution, dont aquire Games by buying
Why do you think i play games i dont own? HOW?
The era of modified consoles to play pirated games is pretty far behind us. Isn't it?
With game development it always comes down to more time or more money and publishers were more than willing to go with the more money camp while interest rates were low and borrowed debt was nothing to worry about.
So you had a lot of studios expand specifically to meet the demands of publishers - now those same publishers are seeing what small studios can do they're wanting to cut back the bloat and cut back the expenses but will without fail fall into the same problems again and start demanding more and throwing more money at the problem.
Yes, that's pretty much it, and part of why they are panicking.
I honestly believe it would be better for them all to just fail, like the big media industry after the advent of 'better products' in alternative settings, on the internet of course.
Once they're out of the way, we would have some real competition, but this time it wouldn't be a race to the bottom.