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Idgaf about the orientation typically. But if it's gonna be explicitly called out, then it better be significant to the character's identity, otherwise it's just meaningless attempts for the developer to ingratiate themselves with the LGBTQ without so much as providing a representative character of substance. I can't think of any examples of these off the top of my head, but there were some games and/or shows where I lost interest because every character was whatever different flavor of sexual and I was just like "this contributes nothing at all to the story, who tf cares about that shit?"
then it better be significant to the character’s identity
I was saying the same thing a few years back, but now I don't even think it's the case. I think it's more like "if it's significant to the character's identity or the game's world, make it make sense".
For example, Cyberpunk's Judy was a great character. You could have several full playthroughs, and wouldn't know she was into girls if you didn't try to jump her bones that one time. You could maybe infer she was more than just good friends with that other character. And that's how it should be. I mean in normal conversation it comes up very rarely who are you into sexually.
All I'm saying, it's not natural in real life to know who everyone would do in real life, and it's not natural in a video game.
Eh, I've seen plenty of attempts of character having a heterosexual tendencies while there is no need for them. Like tons of Disney movies.
If people don't get bothered by those, then they shouldn't be bothered by LGBTQ+ characters having their sexuality shoehorned in.
In the end, a character is a character. And there are people acting extremely flamboyant in the real world, so why wouldn't they be allowed to exist in media?
Recommend looking into "mirrors, windows, and sliding glass doors" by Dr. Rudine Sims Bishop for academic discussion on it. TL;DR it's good for kids.
I have a story plan I'm tossing around, and trying to decide something around this. It's nothing so complex - basically, there's a nation that has historically been extremely homophobic, and as a result, a mid-sized cabal of defectors that the book follows are gay. One of those situations where an observer (in or out of universe) could tiredly claim it doesn't matter to them, except that it apparently does matter to this fictional nation.