Henriquejr spotted this editorial about the the future of dialogue in games on PC Gamer:

The future of dialogue in games

 

The challenges of writing dialogue that's both fun and functional, and how dev tools can lead to better writing.

It’s the stuff of a thousand RPGs: you’ve braved the Barren Pass and crossed the Aching Plains and now, hours since you last spoke to a coherent NPC, you’re finally standing before a city teeming with literally tens of characters, each bursting to tell you at length about the history of their people.

Getting to discover the politics and personalities of a new location should feel like a reward, but the same formulaic text dump from city to city can make you feel awfully weary. Being NPCsplained at with screeds of exposition and feeling you’re taking little meaningful part in it all, game dialogue can make you want to run back into the hills.

[...]

The form must be functional

When Chris Avellone—writer and designer of games from Planescape: Torment to Fallout: New Vegas and recent free agent—writes dialogue, he thinks about it performing three fundamental things. First, the conversation needs a purpose. If it’s with a merchant, then they need to provide that service, and quickly. 

Second, the dialogue needs to be aware of the narrative happening in the nearby area as well as the overarching story. "If the Enclave is encroaching on a community in Fallout, even a simple merchant can say, 'If you’ve come for supplies, you’d best hurry, won’t be much left after the Enclave arrives.’ That tells the local narrative, and the larger narrative."

And third, dialogue has to be as aware of the player’s actions as possible. "If you’ve just wiped out the Enclave, then you’d script the merchant’s opening node to something else: 'Hey, you’re the one that kicked the Enclave’s ass. Anything I have in stock; for you, half off.’"

[...]