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Short answer is yes. Its has happened, is still happening to franchises, and will continue. The reason is simply capitalism. You make more money by creating games that cater to the normal person... who happen to be really dumb and lazy.

Good new is, the market for games that we like hasnt shrunk. It just hasnt grown as fast as the other areas in gaming which means games will always be made. I just dont believe in franchises any more because they always sell out.