Agile and games?

Someone asked me if agile fit game project development. I am not very familiar with game industry and I think it has some specialities found in other areas. Of course we could say that at the end there is a higher level boss there to tell IT guys what to do. For example, Hideo Kojima is producer, has the ideas and other guys implement it. That may be the common model and agile may fit without problems. Nevertheless there is another way to see things and it is to use normal users. They could develop a game for them with the ideas of some producer. Is it like this now? What are the differences?

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