Episodic gaming is certainly something that is happening more frequently. It made its way into the mainstream with Telltale's success, but we have now seen AAA franchises take on the model, successfully too. Hitman is a great example, and there will no doubt be those who will adopt the model.
Death Stranding and Metal Gear Solid lead Hideo Kojima thinks this is just the way the industry headed. In an interview with Gamespot, the developer explained that he thinks the entire media is trending towards shorter content, but also showed interest in the upsides of episodic game development.
For [Death Stranding] I can't tell. I'm not sure. But in the future I think this is a change that will definitely take place and I'd be interested. I don't think movies in the future will last two hours, especially when people are already demanding more speedy experiences and delivery. So taking shorter time spans to develop, putting it out, integrating user feedback quickly, and having that freedom in game-making, I think it will apply to movies and TV too.
Right now we have two-hour-long movies and TV episodes are roughly 40 minutes, but in Japan you have morning shows that last 15 minutes. That's where I think things are headed, having five or 15-minute episodes. For games, having massive, long games will become a thing of the past.
It's hard for me to say whether episodic gaming will ever be the dominant form of game delivery, but I think it is incredibly likely that we will see it for a few years still.