Unlike film, video games have developed a shared language of illogical but accepted tropes, like finding health items in trash cans. This assumed knowledge creates a cognitive barrier for new players, as literacy in one game is often required to understand another.

For the past five years, the top-performing shows on major streaming platforms have been adaptations of video game IP, such as 'The Last of Us', 'Fallout', and 'The Witcher'. This demonstrates a significant cultural shift where gaming franchises are now the dominant source of new, blockbuster entertainment content.

The rapid growth of the app Status, where users role-play as characters in fictional universes, indicates a new entertainment phase. Fandom is moving beyond passive consumption (watching shows) and community discussion (Reddit) to active, immersive participation powered by AI and social simulation.

The recent success of video game adaptations like 'Fallout' is due to showrunners (e.g., Jonah Nolan) who are genuine, lifelong fans of the source material. Unlike early attempts led by opportunistic studios, modern adaptations are created by people who deeply understand the game's nuances, resulting in higher quality.

Instead of relying on pre-written, choose-your-own-adventure paths, games can use AI to generate scenarios and consequences dynamically. This creates an emergent and unpredictable experience where player actions result in unique, on-the-fly narrative outcomes, moving beyond a limited set of pre-scripted options.

The next evolution of media blurs the line between movies and video games. Using real-time AI generation, viewers can influence the plot, similar to Netflix's "Bandersnatch." This dramatically increases engagement and replay value for the same piece of content, creating a strong business case.

Sam Altman suggests AI will create a new form of entertainment on the spectrum between passive movies and intense games. Experiences will be more interactive than a film but less demanding than a typical video game, allowing users to lean back while also having moments of creative input.

A story's core mechanic for engagement is not just emotion, but the constant betrayal of the audience's expectations. People are drawn to narratives, jokes, and songs precisely because they want their predictions about what happens next to be wrong. This element of surprise is what makes a story satisfying and compels an audience to continue.

Instead of adhering to rigid academic definitions, creators should focus on whether their target audience perceives the experience as a valuable game. The players are the final arbiters of a product's category and value, rendering internal debates about definitions moot.