Sackbird Studios, formed by ex-ZeniMax developers, clarified that their logo was hand-drawn by a human, but some website visuals were AI-generated due to tight launch deadlines, raising questions about AI use in creative processes.
Game developers are criticizing Neil Druckmann, director of The Last of Us, for his comments on using AI to enhance storytelling in games. They argue that AI cannot replace the creativity and collaboration of human developers and express concerns over the ethical implications and quality of AI-generated content.
Despite a successful year for video games in 2023, the industry has seen widespread redundancies, with major companies like Microsoft, Epic Games, and Electronic Arts shedding thousands of staff. Factors driving the layoffs include the aftermath of Covid-19, revenue projection corrections, raised interest rates, and high inflation. The industry's reliance on external investment, aggressive mergers and acquisitions, and the potential rise of artificial intelligence in game development are also contributing to the job losses. As a result, there is growing pressure for industry self-regulation and unionization among development staff, while companies are expected to focus on safer bets and known hits to sustain and fund risks.
Square Enix's new president, Takashi Kiryu, has outlined the company's focus for 2024, emphasizing the aggressive use of AI in game development and a continued interest in blockchain technology. Despite the challenges of 2023, including mass layoffs and economic turmoil, Kiryu highlighted the rapid adoption of VR/AR and AI tools in various industries. Square Enix plans to enhance development productivity and marketing sophistication in the short term, while aiming to create new forms of content with these technologies in the long term. The company is also adjusting its organizational structure to support these goals and exploring ways to diversify earnings in anticipation of ongoing economic challenges.