It all started in 2011 when NetherRealm released the long awaited Mortal Kombat 9; a reboot of the franchise and (it was huge success). It revitalized the series and brought something entirely new to the fighting game genre: an actual story mode which was very well received.
To be fair, a story mode and fighting games aren't strangers to each other, but crafting a narrative within a fighting game has always taken a backseat when in development. Everything is devoted to making sure there is character balance for the online and couch multiplayer, and proper netcode for the online portion of the game. It will be fine tuning it so that the controls are responsive and feel good to play and other special modes dedicated to the game so that people get the max enjoyment out of their $60. Creating a narrative that surrounds the characters, which is personally, in my own opinion should be placed on a higher priority otherwise they become a convoluted mess.
For me, the story and the characters are what keeps me playing. Who are these people and what are they fighting? Early fighting games had merely grouped their playable characters as simple stereotypes such as the Bruce Lee knockoff (Liu Kang from "Mortal Kombat") or the two friends who are rivals (Ryu and Ken from "Street Fighter"). Not much was given about their character and who they are/motivations they have. The story just seems to be one or two lines that sum up a character's arcade ending or what one character did to another. Not to say that there isn't any background to the story or the characters but most details are often found outside of the game and that isn't a good sign when finding the game's story has to come from not actually playing it.
One thing I've noticed with the more recent "Mortal Kombat X" and the now newly announced story mode for the upcoming "Street Fighter 5," is that they are completely abandoning the tournament backdrop. It's refreshing for the series and it still allows characters to travel both the world and their story arc. One thing I really enjoyed about "Mortal Kombat 9" and X's stories is the relationship between Raiden and Liu Kang. Raiden begins as this wise and powerful god of thunder that receives visions from his future self about how to win the tournament. However, it only leads to terrible decisions and the death of most of the cast including Liu Kang himself (who completely turns against him in the end). When Liu Kang is brought back as an undead servant to Quan Chi in X, he still retains that hatred for Raiden and develops into his own villain role, despite the flaws with the rest of the game's story.
I hope that the story for "Street Fighter 5" can be just as good, if Capcom can write it perfectly. It won't release with the game's launch on Feb. 16, but it'll come in the summer so they have time to fully develop their ideas. Judging from the trailer that released and shows some significant details, I'm already excited for what this story brings and if it'll break new ground in creating fighting game narratives.
