MamaSheep is 100% right. I asked SO (he's in computers) about this a while ago, so I'll duplicate his response.
As well as the competition being stiff, the pay stinks and the hours are tremendously long, because if you don't want to work long hours for very low pay, there are 100 more who will.
Also, according to him, the first year of his computer science degree (in the UK) was just full of people who wanted to do video game design and were bombing out because they couldn't handle the mathematics, but just loved to play video games.
There's nothing wrong with following your dream -- but I wouldn't do video game design as a major, but rather computer science, with coursework both in video game design and in something more marketable. If he IS serious about this, he needs to make sure he's working very hard in math, and doing as much programming as he can. There is a surprising amount of math involved.