87% of videogame developers use AI agents following record layoffs, Google study finds AURORATOTO GROUP

A Google Cloud survey found that 87% of video game developers now rely on artificial intelligence (AI) agents to streamline work, with most using them to handle repetitive tasks so they can focus on creative work, as the industry shifts its focus to optimising costs after record layoffs.

The survey, carried out with The Harris Poll in late June and early July, asked 615 developers in the United States, South Korea, Norway, Finland and Sweden.

Reuters reported that gaming publishers have turned to AI to manage rising development costs and longer production timelines, driven by high player expectations and fierce competition in the market.

About 44% of respondents said they use AI agents to optimise content and quickly process text, code, voice, audio and video.

Still, the use of AI in video games remains contentious, with many in the industry voicing concerns about intellectual property, job losses, and lower pay.

Last year, video game performers in Hollywood went on strike over pay concerns and AI use, while more than 10,000 jobs were lost as studios shut down.

In early July, Bloomberg also reported that Microsoft’s gaming unit will cut about 10% of staff, affecting around 200 workers, a move the company later confirmed without giving further details.

Even with the wave of job cuts, the industry is expected to pick up pace this year and next, helped by the launch of premium titles and new consoles.

The survey showed that 94% of developers expect AI to lower development costs in the long run, although about a quarter said it is still difficult to measure its return on investment, and high integration costs remain a hurdle.

At the same time, 63% raised concerns over data ownership, as questions around licensing and the rights to AI-generated content remain unclear. /TISG

Read also: Microsoft to cut about 6,000 staff globally as AI investments push spending