It personally feels like more games have been released recently, particularly for the PS3 and 360. The frequency of quality games seems to have increased from the start of this generation to 2011, at least for me. 2012 was pretty dry, but that year seemed more like the exception than the rule. Many might disagree with me, but I think this generation even had more quality games than last generation. Keep in mind this is without considering digital distribution, which is only going to be more prevalent next generation.
Studio closings honestly haven't affected me much. For the most part, the studios that get shut down fall under one or two categories. Either they make games that sell very little, in which case I didn't even notice their disappearance. Or they invested an excessive amount of resources into production value forcing them to shut down even if their game sold well. It's rare that a studio like this actually makes a game I enjoy, so I wouldn't notice their disappearance either.
I'm not saying next generation will provide more games or that it won't provide less games. I'm just observing what I have seen so far. I'm personally not expecting a noticeable decrease in studios next gen, or at least not a decrease in games. Considering the increased frequency of quality games in conjunction with the inevitable rise in digital distribution, I'm fairly confident that next gen will be awesome for me at least.
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