The days of flashy displays, scantily clad booth babes, and the biggest event in the gaming industry may be coming to an end. Reported today on various gaming publications, speculation is that the Entertainment Software Association (ESA) is looking to greatly downsize their flagship event, the Electronic Entertainment Expo (E3), starting next year.

The reason: larger publishers aren't seeing enough return on the millions of dollars invested in the expo every year.

Although the all-out cancellation of the event was originally reported by a few publications, this is unlikely as the official E3 website still lists next year’s expo with dates and location. This downsizing will likely result in a much smaller venue (likely not the Los Angeles Convention Center where it is typically held). Also expected is the announcement of a more closed event with further emphasis on meeting room exhibits and presentations, rather then the flashy displays we've come to admire over the last few years.

A full announcement from the ESA is expected early this week. We'll keep you up to date as information is made available.