There are startups all over that show up to burn their time and money, fail, and shut down by going broke. Costs to be competitive in gaming are high and a huge risk. Private or public, games take a long time to make and are primarily built as products to sell to children or generally immature adults. All it takes is one slightly bad or disappointing game to trigger the "Reee!" people, or the GameFAQs weeaboo power fantasy type reviewers who run the gauntlet between 0/10 or 10/10 word salads every day; Then the result is a pile on, you get bad sales and ROI, demoralization due to the howling backlash.
Gaming is a volatile, shitty gamble to put your money into or be involved with. Going private doesn't guarantee success or greatness in the product. Shareholders don't fuck over games by doing nothing as implied here. This thread is predicated on a stupid assessment of financial risk. Private companies need heavy investment to get off the ground and operate without earning anything for years.