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  1. Well, web games weren't necessarily meant to be overtly complex. Nowadays everyone is using engines programming in C++ or C# at the least. What's nice is that cross browser compatibility of these engines are being seen on the web in .io games which are all multiplayer games. Web games are not dead by any means, and game developers are now making more and more real-time multiplayer games for the web. However, if we are strictly talking about HTML5 games with no multiplayer aspect, then yeah I do think that market is "dying" but that doesn't mean you cannot make a successful HTML5 game. Web technology has gotten so much stronger which allows developers to make games more suitable for modern technology. Like TheBoneJarmer has said, there are also libraries like PixiJS and phaser that becoming more and more popular.
  2. Well the current state of the market is definitely changing no doubt... A decade ago it was all html5 and javascript flash games. Now game development is more popular than it ever has been so it means more competition. Not to mention, if your game does "make it" your game lifespan is much shorter than it used to be. Players love playing quick games like .io games or devoting all their time to games like Fortnite or League of legends. If you think about it, players love playing in the "same map" when it comes to multiplayer games, the landscape is shifting no doubt. HTML5 is not dead.. imho. I'm sure there are markets out there and niche games to be made or at least simplified games cloned off popular franchises that have made it. I mean I think we need to be more creative, maybe taking concepts from a mobile game and a concept from a steam game since cross-browser compatibility is much more powerful nowadays and games are now somewhat of a regurgitation of past games. Just my two cents.