Microsoft more-or-less does the same thing with Windows in the personal consumer market. With Office being online these days, the primary motivation for a lot of people to buy a Windows license for a computer instead of using Linux or buying a Mac is gaming, along with pure inertia.
This will be a problem with everything until games are FLOSS.
And I do mean Super Mario 64 with respect to the technology/artwork level. Which is fine by me.
But the big AAA games and the multiplayer games that all of the hip young people with their poggers Twitch streaming and their deadass rock music play? Yeah, can't build those given the state of everything these days.
Games also benefit from a single vision in general, which is hard to square with volunteer style development.
There are certainly exceptions of games that are built as a community: nethack, space station 13, idk probably a third one. But I just can't see this being commonly done until we figure out how free software devs can eat.
With that said: I love free software and hope this problem is solvable, but unless society changes dramatically we may need to learn to do without not just AAA scope games, but even Stardew Valley scope games
You use Super Mario 64 as some sort of low/achievable bar for what volunteers might be able to build, as if SM64 is an easy game to build, yet nobody is building games like that on a volunteer basis.
Even look at the engineering that went into OpenMW: once again hackers were only able to recreate a game engine that runs existing game files (Morrowind) which is the easy part of building a game.