You probably saw a ton of headlines about Xbox leaks this week: new hardware, upcoming games, Game Pass costs, acquisition strategies. A trove of unredacted documents accidentally uploaded to a federal court’s case server gave the world an unprecedented look into the secret machinations of the gaming wing of a $2 trillion tech giant. But if you check out just one leak from this historic week for Xbox it should be Microsoft Gaming CEO Phil Spencer’s analysis of what’s currently plaguing triple-A video game publishers.
Thank You, PS Plus, For Making My Backlog Even Bigger
His analysis was in an email exchange from March 2020, in the midst of the Xbox team planning ahead of a feedback meeting with Grand Theft Auto publisher Take-Two. “In terms of subscriptions and the impact on larger publishers I realized that I haven’t really done a good job sharing our view on the disruption AAA publishers potentially see and how their role in the industry will likely change with the growth in subscription platforms like Xbox Game Pass,” Spencer wrote (the memo was directed to Microsoft CEO Satya Nadella, CFO Amy Hood, then-executive business VP Peggy Johnson, and head of marketing Chris Capossela).
The head of Xbox, who first joined Microsoft as an intern back in 1988 and has been working on the gaming side of its business for over 20 years now, proceeded to diagnose the current state of big publishers as they face wave after wave of market disruption. It was a cogent, incisive commentary on the fears driving an ever-shrinking class of mega gaming companies that are clinging harder and harder to the few big-budget franchises they have that still pay out.
Spencer lays out how publishers once existed to leverage scale in negotiations with retailers for shelf space. Then everything changed. “The creation of digital storefronts like Steam, Xbox Store and PlayStation Store eventually democratized access for creators breaking physical retail’s lock on game distribution,” he writes. “Publishers were slow to react to this disruption. The AAA publishers did not find a way to leverage the moat that physical retail created in the digital realm in a way that had them continue their dominance of the game marketplace.”
Companies like Activision, Electronic Arts, and Ubisoft eventually made their own middle-man clients to try and get around platform fees, and a few later followed up with their own subscription services. None of them were built early enough or offered a compelling enough alternative to get big. Players complained about bad UI and bad deals. Franchises like Call of Duty and Madden that had once abandoned Steam returned. Game Pass got big while EA Play and Ubisoft+ stayed small. The only competitive advantage publishers have left is being able to pour more money than anyone else into annualized blockbusters.
Spencer writes,
Over the past 5-7 years, the AAA publishers have tried to use production scale as their new moat. Very few companies can afford to spend the $200M an Activision or Take 2 spend to put a title like Call of Duty or Red Dead Redemption on the shelf. These AAA publishers have, mostly, used this production scale to keep their top franchises in the top selling games each year. The issue these publishers have run into is these same production scale/cost approach hurts their ability to create new IP. The hurdle rate on new IP at these high production levels have led to risk aversion by big publishers on new IP. You’ve seen a rise of AAA publishers using rented IP to try to offset the risk (Star Wars with EA, Spiderman with Sony, Avatar with Ubisoft etc). This same dynamic has obviously played out in Hollywood as well with Netflix creating more new IP than any of the movie studios.
Specifically, the AAA game publishers, starting from a position of strength driven from physical retail have failed to create any real platform effect for themselves. They effectively continue to build their scale through aggregated per game P&Ls hoping to maximize each new release of their existing IP.
In the new world where a AAA publisher don’t have real distribution leverage with consumers, they don’t have production efficiencies and their new IP hit rate is not disproportionately higher than the industry average we see that the top franchises today were mostly not created by AAA game publishers. Games like Fortnite, Roblox, Minecraft, Candy Crush, Clash Royale, DOTA2 etc. were all created by independent studios with full access to distribution. Overall this, imo, is a good thing for the industry but does put AAA publishers, in a precarious spot moving forward. AAA publishers are milking their top franchises but struggling to refill their portfolio of hit franchises, most AAA publishers are riding the success of franchises created 10+ years ago.
Microsoft’s answer to this is Game Pass, not out of the goodness of its heart but because it sees a new platform it can scale to feed the financial growth demanded by investors. “Our goal is to find a way to both grow our subscription (which is our new platform) and help the AAA publishers build towards a successful future,” Spencer writes. “For publishers with 2-3 scale franchises that’s a difficult transition. Again, taking a clue from Hollywood, it’s not clear how a standalone subscale media publisher grows is this world without adapting to new paradigms or getting consolidated but we believe we can help a Take2 by increasing monetizable [total addressable market] across more endpoints inside of a global platform like Xbox Game Pass (inclusive of xCloud).”
The suggestion here is that the type of game that can thrive on a subscription service is either a small one that benefits from better curation and visibility or a live-service one that can make up revenue on the backend by charging all the new players microtransactions (the new store shelves are inside the games themselves). That’s also a pretty grim assessment, and probably part of the reason Sony has repeatedly said that bringing its big first-party exclusive games like Spider-Man 2 and The Last of Us to its competing PS Plus service day-and-date would cripple the economics of blockbuster production.
Spencer’s email was written over three years ago at this point, and was aimed largely at trying to summarize the current state of the industry for his bosses. We can see how things have played out since, though. Take-Two, Ubisoft, and Electronic Arts have decided to collaborate with Game Pass, and EA Play is now part of the service. Microsoft, meanwhile, gobbled up ZeniMax (including Bethesda Game Studios), and is now on the cusp of doing the same with subscription holdouts Activision Blizzard. All while smaller competitors like Embracer go into a tailspin.
It’s not clear who the big publisher model was serving after physical games died, outside of the richly compensated CEOs and occasional shareholder buybacks. But it’s also not yet clear that whatever replaces them will serve anyone—developers, players, fans—any better.
You can see the email exchange in its entirety below:
As is all-too-often the case, Bethesda releases its games with half-baked UIs, dodgy animations, and painfully slow menus, knowing that its community will clean it all up for them via mods. So as expected, over the weekend all manner of essential mods for Starfield have appeared that will clear up the game’s most immediate problems. Also there are these ones.
Diablo IV – Bear Bender Build
Starfield launched without DLSS support: modded. It has a clumsy, oversized inventory presentation, like all their games: modded. It doesn’t let you adjust your FOV, ffs: modded. But forget all that. We’re here to talk about what happens when you order the mods from lowest to highest popularity. These are the people who see a brand new game, and immediately learn how to modify it for the stupidest possible reasons. This is to celebrate the people who make the flashlight show Nicolas Cage’s face.
Ryan Gosling Character Preset
We understand the situation you’re in. You’re a busy person, and with work and family you don’t have the time to play Starfield AND sculpt your character as Ryan Gosling. But cacon5 has you covered with the Ryan Gosling Character Preset. As this video shows, this modder dedicated their time and energy into crafting someone who…is also a human being.
NTD Modder RPG
Celebrity Flashlights
If that’s not enough Ryan Gosling content, then you’d better bloody believe we’ve got more for you. Because why not also have Dollar Tree Ryan Reynolds as a beaming point of light? That’s yours via the Ryan Gosling Blade Runner Flashlight from MozzyFX.
But it doesn’t stop there. In fact, we get the feeling this is something that’s only just getting started. Because there’s also the Nicolas Cage Flashlight Mod, which presents the actor like some sort of horrendous moon-face.
Or perhaps you’d like to show your eternal loyalty to our lord and savior, Todd Howard himself, via the Todd Howard Flashlight Replacer.
If your affections lay with even more senior deities, then you might want to opt for the Phil Spencer Flashlight.
Maquinaremos
Umbreon Ground Crew Helmet
This one perhaps doesn’t quite meet the remit of the article, because it’s honestly astonishing that Bethesda released the game without this already implemented. It’s the Umbreon Ground Crew Helmet, which replaces the ground crew helmet with one showing a picture of the Pokémon Umbreon.
“Truly the best mod ever created,” says fellow modder jetray1000, despite the mod inexplicably sitting in second-from-last place in Nexus Mods’ Trending list. (Last place is a widescreen mod that is flagged as containing “suspicious files.”)
A Massive Effect
How much would you like to see a crossover between Mass Effect and Starfield? Yeah, us too! Meanwhile, the John Shepard mod promises to add a player character who kind of looks like the lead character from Mass Effect—you know, the game which also has a character creator, that lets you make him (or preferably her) look like anyone you want. Well, we say “looks like,” but modder ctxrlsec hedges their bets, adding “probably notperfect because the character creation is kinda limited but it looks close enough.”
Hello Killy
Right now, at this early point in Starfield’s life, it’s not yet possible to apply skins to your weapons at will. For the while, it requires entirely replacing the game’s default skin, which is perhaps more cumbersome. Although we would argue, entirely worth it when it’s the Hello Kitty Laser mod.
Image: realadry / Nexus Mods / Kotaku
Entirely Ruin Starfield On Purpose
Sick of the game working properly? Frustrated by the way it won’t let you introduce narrative-breaking situations? Finally, there’s a solution for you. It’s the Kill Essential NPC mod, that prevents plot-vital characters from getting back up once you’ve knocked them down. (Yes, Starfield relies on that old Beth-gem!)
Rather excellently, in case installing this mod weren’t already obviously a spectacularly bad idea, it seems it also allows enemies to perma-kill essential characters, meaning ruining your entire game doesn’t even have to be by your own hand.
HowDragonborn
There. We hope this has proved completely useless for you, and we look forward to seeing even more ridiculous and unhelpful mods once the game is officially released on September 6.
Mods have for decades been a way for fans to create content for their favourite games, and for decades have been seen as a community pursuit, something free, something people do for the love of it. Over the last few years, though, that stance has begun to change.
The Week In Games: Wild At Heart
From Skyrim to Grand Theft Auto, an increasing number of prominent mod creators have begun to lock their work behind third-party paywalls, most commonly on crowdfunding sites like Patreon. This is a thorny issue! On the one hand, if people are putting in work that others are enjoying they deserve to get paid. On the other, mods have traditionally been free, and a lot of mods are built on the work of other mods—not to mention the work of the game’s developers themselves—so where do those charging get to draw the line?
Lately we have been getting a lot of questions regarding mods, and what we as a company approve of – as well as what we don’t approve of. Therefore we thought we’d try and clear things up a little bit.
First of all, while we don’t have any official mod support, we are definitely happy to see that people are engaging with our game and creating their own mods for it. It’s definitely flattering that you want to be creative and add your own ideas! Iron Gate not having any official mod support essentially means that any creating and using of mods is done at your own risk, and that we can’t guarantee that mods will be compatible with newer versions of the game.
The thing that we’ve been getting the most questions about, however, is the phenomenon where mods cost money. We definitely understand that you spend a lot of your time on creating a mod, and that you might want financial compensation for that, but Iron Gate does not condone locking modded content behind a paywall.
We feel that charging money for a mod is against the creative and open spirit of modding itself, and therefore we urge all mod authors to make their mods freely available to all who want to play them. This should include the whole mod, and not just have part of the mod available for free while another part of it costs money. If you want to show your appreciation for a mod author you can of course still support them with a voluntary donation, but we do not want payment to be a requirement to access a mod.
Additionally, we would also greatly appreciate it if mods made it clear that they are unofficial mods, both in game and on any website where the mod is available. Sometimes joining a modded dedicated server will automatically trigger a download of a mod, and we simply want to avoid confusion for players so that they can know whether or not they are playing a modded game. Valheim already has a feature for this, where you can simply have your mod trigger a popup in game, which will inform the player that their game is running with a mod.
Thank you all for taking our wishes into consideration!
Best regards,
The Iron Gate team
Seems fair! Their compromise solution, where a modder’s individual works are released for free but they’re supported generally on Patreon, seems the most workable in this situation, not just from a community standpoint but also a legal one: like Iron Gate say here, a lot of games don’t officially support mods, and so folks diving into the code of someone else’s game and making money off it sure seems like its fraught with peril when money starts changing hands.
Like I said, though, this question is going to have different answers for each game, depending on how mods are made available and how they’re supported, not to mention the views of the developers themselves. But in Valheim’s case, at least, their stance is clear! It’s not binding—all they can do is ask players to take “our wishes into consideration”—but it’s clear.
The ability to try before you buy has been a thorn in gaming retail’s side for generations. From the demo discs of old to the subscription models of today, publishers and shopfronts have had to wrestle with the idea that a lot of people only want to spend money on games they’ll enjoy.
The Week In Games: Twisted Therapy And Toy Soldiers
These Anime Moms Deserve All The Flowers For Mother’s Day
Yesterday
Whether that’s right or not, I don’t have the bandwidth for today—the idea that you could get a refund for a bad movie is laughable, but then, movies don’t cost $70, and what even is a “bad” game anyway?—but regardless, I’ve always been fascinated by the systems and processes companies have tried over the years to help sell their games.
Like this! Steam has long been a battleground for this kind of stuff. You’ve long been able to download demos on Steam if the studio/publisher wanted it, and free weekends have also been here for ages, but for a while now the accepted practice on the platform has been buy a game, play it for a bit and if you don’t like it within the first two hours, you can just refund it and get your money back.
That’s not an ideal scenario for anyone. Games are big downloads these days, and companies are actually losing money on processing fees every time you have to refund a transaction. So Valve looks to have thought of something new: a demo, only you get to play the full game, only you get a very limited amount of time to actually play it.
Dead Space is the first to offer the “Timed Trial” feature—which is baked into Steam itself, so surely it’s more than a one-off—and you can see how it works below:
Image: Valve
Is 90 minutes enough time to really get a handle on a game? I don’t know! It’s a figure that sits below the point you used to be able to request a refund on, but also sits a few hours back from the point where some games start getting good, so who knows how useful this could be.
I’ve asked Valve if other games are going to be implementing this soon, and if so if their time limits can be adjusted by publishers/studios.
Epic Games held a little showcase at the Game Developers Conference earlier today, called State of Unreal. Designed as a way to keep everyone who makes games up to date on what’s in store for the industry-dominating Unreal Engine, the highlights are also obviously interesting to anyone who plays games as well.
Both Epic and some external studios took the opportunity to show off some of the stuff they’ve been working on in Unreal Engine 5. The shortest video, and perhaps most impressive, is this clip from Ninja Theory’s Senua’s Saga: Hellblade II, which highlights some incredible facial animation capabilities (using Metahuman, which we’ve written about previously):
State of Unreal – Senua’s Saga: Hellblade II | GDC 2023
It still doesn’t look real, there’s something about the exaggeration of the lips and her teeth that I can’t fully explain, but it still looks amazing.
Another subject of the technical showcase was action RPG Lords of the Fallen, with a more conventional look at how games are made using the engine:
Lords of the Fallen – State of Unreal Technical Showcase Trailer GDC | Wishlist: PC, PS5 & Xbox X/S
Next up is this gameplay demo from Infinitesimals, a backyard bugs game that I’m pretty sure was first announced years ago, but which is still in development. This clip is a little more developer-focused, but still gives you a look at how Unreal Engine 5 handles the scale of a large open world:
Infinitesimals – Unreal 5 Gameplay Demo | State of Unreal 2023
And finally we’ve got this driving video, which is not just an ad for Unreal Engine and Epic’s Quixel, but for EV company Rivian as well (their car’s dash screens run on the Unreal Engine). This one is showing off some lovely foliage, along with some impressive driving physics as well (it’s particularly neat how the car will hit small rocks that will then fly away):
Unreal Engine 5.2 – Next-Gen Graphics Tech Demo | State of Unreal 2023
While it’s expected to take everything shown at these presentations with a grain of salt, it’s encouraging that three of the four videos here were of actual games currently in development, meaning that the usual “well, your actual games aren’t going to look this good” caveats we normally need on these posts aren’t quite as needed here.
The Game Developers Conference (GDC) is next week, and while that’s normally a time for developers from around the world to meet up, the developers of Rust were also planning on using the event to catch up with fans. That now won’t be happening.
As PC Gamerreport, the original plans were for a meeting—at a “coffee shop in San Francisco”—to be “a chance for conference attendees and fans to meet the Rust team, share their portfolios, and ‘talk shop’”.
It has been now been cancelled after the developers received “threats to kill”, with the team posting a statement to Twitter that reads:
This is not a statement we’re happy to announce.
Due to an IRL threat we must take seriously, we’re going to have to cancel the GDC meetup in San Fran next week. 😢
Fans are instead encouraged to “reach out via email!” instead. “It’s important to remember the developers are indeed humans”, they add in a follow-up Tweet, saying “When threats arise we make their safety #1.”
“The overwhelming majority of fans are respectful and supportive,” Rust producer Alistair McFarlane told PC Gamer, adding “there is always going to be a small subset of individuals who engage in threatening and abusive behaviour.”
It’s important to note that this meetup wasn’t a part of the official Game Developers Conference schedule of events, and so had nothing to do with the organisers of GDC. This was something the Rust team were organising outside of that, just to take advantage of the fact that the team and fans were going to be in the same space for a few days.
The cancellation also only affects this one meetup; developers Facepunch will still be attending the Game Developers Conference itself, which runs from March 20-24.
Last year, AI generated art finally broke through the mainstream—but not without significant public controversy. The rampant art theft required to build an AI’s dataset and the resulting forgeries eventually led to a class action lawsuit against AI generators. Yet that hasn’t stopped developers from using the technology to generate images, narrative, music and voice acting for their commercial video games. Some game developers see the technology as the future, but caution against over-selling its benefits and present capabilities.
AI has been making headlines lately for the wrong reasons. Netflix Japan was blasted by professional artists for using AI to make background art—while leaving the human painter uncredited. Around mid-February, gaming and anime voice actors spoke out about the “pirate” websites that hosted AI versions of their voices without their consent. AI seems to be everywhere. One procedurally generated game has already sold millions of copies.
The promise of user-generated gaming experiences
A few years ago, Ubisoft Toronto, known for games like Far Cry 6 and Tom Clancy’s Splinter Cell, was not only using AI in its development process—it created an entire design system that heavily relied on procedural generation. “In the future — potentially as soon as 2032 — the process of making digital nouns beautifully will be fully automated,” Ubisoft director Clint Hocking wrote in a Polygon op-ed that claimed that within a decade, players would use AI prompts to build their games. Think “a side-scroller where I am an ostrich in a tuxedo trying to escape a robot uprising,”as Hocking put it. This futuristic vision of games would work in the same way you might tell AI image generator Midjourney to produce new images based on text descriptions.
Despite the eyebrow-raising boldness of his claim, the industry has already seen some strides. Watch Dogs: Legion, Ubisoft’s open world action-adventure game, seemed impressive for what it was: A blockbuster title that randomly generated NPCs in every playthrough and promised to allow players to “play as anyone.” While reviewers did encounter “repetitive loops” in the quest system, Legion seemed like a solid first step in the future of procedurally generated gameplay.
“10 years [to create an AI game] is insane, as it takes 5 to 10 years to make a standard AAA game,” said Raj Patel, former product manager on Watch Dogs: Legion. He was wary of how designing non-linear games incurred an additional layer of labor-intensive complexity. He told Kotaku over messages that he didn’t think that AI games could be “wholly original, bespoke, [and] from scratch with the same quality” as existing AAA games. “There is certainly potential [in machine generated games], but Star Citizen has been in development for 10 years so far,” he said of a space sim MMO that boasts of procedurally generated planets. The game has raised nearly $400 million, but has not been released since it was first announced in 2010.
If Ubisoft’s forays into NFTs and web3 are any indication, the company has been quick to jump on trends that sound buzzy to investors. But that didn’t mean that they were necessarily pushing the technology forward.
Game designer and AI researcher Younès Rabii felt that integrating AI with these expensive processes was more about “hype” than a technological inevitability. “There’s always a 15 to 20 year gap between what academia has produced in terms of [AI] advances and what the industry actually uses,” Rabii told Kotaku over Zoom. They had strong feelings about how Watch Dogs: Legion seemed to fall short in being the public face of what AI games could be. “This is because it’s way too long to train [developers] to use [advanced AI]. It’s not worth the risk. It doesn’t bring enough money to the table.” Ubisoft told investors that the game’s predecessors have sold around ten million each, but never publicly released the sales data for Legion beyond its launch period. They felt that Ubisoft had taken the risk with Legion as a marketing hook. “It’s not that interesting… they have a series of simple nouns and properties, and they behave according to it.”
Image: Ubisoft
Reviewers seemed to agree with him. One critic noted that “there’s not much of a human element” to the Londoners in the game, and that they “don’t meaningfully interact with each other.” Another struggled with “repetitive” missions. Kotaku panned the campaign for being “empty and soulless,” but praised the more interesting DLC for ditching the procedurally generated recruitment altogether.
Hocking himself admitted in a Washington Post interview that “reinventing open world design” during Legion’s development had been “uncertain,” “difficult,” and “scary. Being able to play as any character in the game was an idea that Ubisoft had never experimented with before.” Human designers had to manually account for every single possibility that the players could choose—it wasn’t a computer that could understand how human players would emotionally respond to randomly generated scenarios. Hocking had been much less optimistic about the possibility of creating a gameplay experience that didn’t feel entirely samey. “There isn’t infinite diversity,” Hocking said in the interview. “You’re still going to encounter, ‘Oh, yeah. I recognize that voice. I recognize that person. Or, this is one of the people who has the technician fighting style. They fight in a certain way, [similar to] that other person.’ But it still blurs the lines quite a bit.”
Artificial intelligence has always been a part of game development
Florence Smith Nicholls, story tech at the award-winning indie studio behind Mutazione, also had a more muted perspective of AI. They told Kotaku over video call that AI was already being used extensively in AAA development, like in Fortnite. “When people [say] it’s going to completely revolutionize gaming, it feels kind of similar to what we’ve had with discussions around NFTs and the blockchain.” They pointed to the chess playing program Deep Blue as an example of artificial intelligence in gaming.
Screenshot: Epic Games
Mostly, though, we’ve seen a wide range of applications for AI in games when it comes to automation–but how we define such a thing can get confusing for the average person. Because of popular generators such as Midjourney and Chat GPT, most people associate them with neural networks that create text or images based on a dataset that it scrapes from the internet. Researchers have very broad definitions of AI. “If you showed someone Google Maps in 1990 and showed that you could plot a route between any two points on the planet… that would be considered a hard AI problem,” said Cook. “Now people just think of that as something that your phone does. It’s the same thing in games. As [technology] becomes more normal, they no longer look like AI to us.”
“We talk about AI when it doesn’t work,” said Alan Zucoconi, a director of AI game development at the University of London. “When it works, it’s invisible and seamless.” He acknowledged that artists and programmers don’t see eye-to-eye on the technology. “There is friction [with AI], especially for artists… Those same artists are using AI every day, they just don’t call it AI,” said Zucconi. “Tools like the select all regions tool in Photoshop, smudging colors… tools we take for granted are not seen as AI… so I find it very fascinating when people think that these are something new. It’s not.”
“The real utility [of AI] in the short term is helping with more discrete tasks in the process of producing work,” Patel wrote, recounting his experiences with working on Ubisoft games. “In one game, we had AI testing the open world… It would log the framerate and any clipping issues. The machines would be left running moving through the world and note areas where things had issues. That helped us find areas to check without having real people have to do that otherwise tedious work. Real people could focus on checking, verifying, and figuring out details.” Rather than risking whether or not a player might be able to tell if something was AI-generated, “[AI] let our QA staff not do the tedious parts and focus their time more efficiently on problem areas.”
Automated development often sounds incredibly sinister when coming out of the mouth of a gaming executive who doesn’t sound adequately troubled about the plight of crunching developers. But testing has been automated for years, and QA professionals are calling for studios to ditch fully manual testing. Despite the popular image of QA as low-skilled work, AI experience is often a necessary prerequisite to being a games tester, because automated testing is often a key aspect of a studio’s workflow. And it’s not just testing—automation is a shipped feature of AAA video games too.
Mike Cook is an AI researcher and game designer at King’s College London. He told Kotaku over a Zoom call that games such as Minecraft are procedurally generated by AI, and blockbuster games such as Assassin’s Creed makes use of AI for certain mechanics. “When your character places their hands and legs in unusual places to climb up the side of a building, that’s not a handmade animation,” he said. “There’s an AI that’s helping figure out where your body’s limbs should go to make it look normal.” He noted that online matchmaking and improving connectivity were both aspects of games that were supported by AI.
Limitations and ethical challenges of AI and procedural generation
Despite the possibilities, Nicholls said that procedurally generated content was only really useful for “very specific tasks.” They cited examples such as changing the weather or generating foliage in Fortnite. AI would need to be able to handle several different tasks in order to be considered a game-changing force in development.
However, they had concerns about which developers would benefit from extensive automation. They pointed out that in the case of art outsourcing (the practice in which studios pay cheaper studios to create low-level assets), the “main” studios were doing more “intellectual work” such as design. They thought that AI could similarly create an underclass of artists whose work is less valued.
Sneha Deo, an AI ethicist from Microsoft, draws the connection more overtly. “I would say a lot of the undercutting of [tech labor] value that happens today is due to differences in the value of currency.” It’s cheaper to hire developers from a country with a less powerful currency, rather than paying developers from the U.S. or western Europe. She also attributed the devaluation of human labor to the last mile effect. “Humans trick themselves into thinking if a machine can do it, then the [labor] that the humans are adding to it isn’t as valuable because most of it is automated.” So even if AI created new ‘AI design’ jobs, those jobs might not necessarily pay a reasonable amount.
While he’s normally exuberant about the possibilities of machine learning, Zucconi seemed uncomfortable when asked about whether or not AI would devalue the labor of voice actors. When directly pressed about the possibility of paying actors for using their voices in AI (as Hocking raises in his op-ed), he said: “Licensing voices is probably going to happen. We’re very close to having that technology… I’m hopeful that this is a good future because it means that people can have more work opportunities.” The ability to commercially profit from one’s own “likeness” is enshrined in state publicity laws. Celebrities have been licensing their likeness to third parties for years—the most famous recent example being Donald Trump’s embarrassing foray into NFTs.
Jennifer Hale, voice actor for female Shepherd, tweeted that AI voices created without consent were “harming voice actors,” Screenshot: Electronic Arts
Despite his optimism, it seemed that professional voice actors felt differently. Voice actors for popular franchises such as Cowboy Bebop and Mass Effect both spoke out against AI versions of their voices being falsified and used without consent. Some bad actors had even used AI-generated voices to dox people. It’s reminiscent of how decades ago, Jet Li turned down a role for TheMatrix because he was concerned about Warner Bros. reusing his motion-captured movements after he collected his last check.
“I think what matters is not any specific deal,” Cook said in regards to compensation and AI-generated art. “I don’t know if licenses are better than labor. What does matter is that the people who are actually doing this job are the ones that get to decide what should be happening,” he said. “And the problem is that in most of these creative jobs, the power dynamic isn’t there to allow people to have that voice.” He also noted that it was easy for artists to accidentally sign away their rights in perpetuity.
Unlike blockchain technology, developers can see clear benefits to adopting automation more broadly in game development. One indie developer told Games Industry that AI development could help smaller studios stay competitive. Failure rates are incredibly high, especially for developers who don’t have massive AAA-sized budgets. No Man’s Sky used machine-generated content to create expansive worlds, only to have a disastrous launch–and it took five years for the game to eventually become a success story.
Deo saw AI as one method of bridging the resource gap between the global north and south. “What’s the rightness or wrongness around using these models to generate art or narrative or text if that’s not your strength? I think about game design as this collaborative process that favors people who already have strong networks,” she said over Zoom video. “[These people] can tap their friends or their networks to come in and do that manual work, [which] is democratized by the replacement of human labor by AI art.”
Image: Latitude
Deo acknowledged that AI art could undercut junior artists who were trying to break into the industry, but thought that it wasn’t an ethical quandary that should rest on independent creators. “It’s not a black and white thing. I think at larger studios, that’s a place where there’s an ethical issue of: ‘How does this undercut labor that’s already undervalued?”
It was a convenient way to think about AI in a positive light. But AAA games like Fortnite have already taken “inspiration” from indie games such as Among Us. That was just for a game mode. It didn’t feel like a logical leap to think that big studios could borrow development methods too.
Could machine-generated games be fun?
And there’s another major stakeholder that’s critical to the success of AI games: the players. Right now, the average person still thinks that “human” and “machine” generated art have inherent differences. “There’s a sense of difficulty in knowing the authorship of certain artwork,” said Nicholls. While games are often attributed to leads in more public-facing roles, they are products of entire teams–and AI only complicates the idea of authorship. Especially when generators such as Midjourney are raising legal and ethical questions on who owns the art that the machine produces. “I wonder if now there’s more unease around AI because people fear that they won’t be able to tell if something is AI generated or not.” Before AI became a prominent image-making tool, it would be reasonable to assume that any painting had some kind of human element. Now, even Bungie community moderators struggle to differentiate between AI and human art.
But Cook thinks that these machines we call “video games” contain a complexity that can only be built by humans. “Maybe it’s possible for AI to generate games but the games that left an impact on us… they’re boundary breaking. Concept breaking. Those are things we can’t necessarily predict with enough data or computer power… If we wanted infinite Grand Theft Auto campaigns or Star Trek episodes, then they would start to feel samey.”
Nevertheless, games such as Minecraft and No Man’s Sky are immensely popular. Although the popular image of artificial intelligence is associated with perfection, that’s not what Cook thinks that gamers necessarily want.
“Players like to be surprised. They actually like it when the AI breaks…Some of the most memorable things that people pull out of these AI systems is when they’ve gone wrong a bit. But I think something that’s really important is that they like to be able to share and talk about these things,” he said. “Although Minecraft or Spelunky 2 has an infinite number of levels and worlds in it, that infinity isn’t really important. What’s important is the one world that you have, or the one thing that you shared with other people. So in the Valheim world, the Valheim world generator is not important. What’s important is the server that you built with your friends.“
Fortnite creator Epic Games will pay a record $520 million to settle allegations that it illegally collected children’s personal information and used “dark patterns” to encourage accidental in-game purchases. What do you think?
“I hope they have a creepy way of making that money back.”
Cliff Zarley • Unemployed
“I blame parents for letting their kids have personal information.”
Mandy Lee • Chief Enunciator
“We let these companies babysit our kids for free, and they betray us like this?”
The was once a golden age of PC gaming where you could open up Steam (or even just launch an executable yourself!), boot up a game and the next thing you would see would be the game itself. For many big (and small) releases those days are now long gone, replaced by an era of launchers that are, at best, a nuisance. Now, they’re even infecting indie projects like Kerbal Space Program.
If you want to play a Rockstar game on PC you need to install the company’s own launcher, which boots before you play the game you clicked to play, then makes you click another play button so you can finally play it. And that’s how it works when it’s working; when it’s not you simply can’t play any Rockstar games that you own, sorry!
Want to play a Total War game? You get a launcher. Paradox game? A launcher. Blizzard game? Battle.net. Fortnite? Epic Games Store. An EA game? Origin. Ubisoft? Hey, guess what, you gotta launch Ubisoft Connect, a launcher. Even Kalypso has a launcher.
While publishers have clear reasons to dump these things on us (from DRM to $$$), these launchers are wildly unpopular among players, in part because of the connectivity hassles (see Rockstar’s example above), but mostly because they’re just a pain in the ass, a speed bump on your way to the place you actually want to go.
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Things have hit a new level of absurdity this week, though, with news that Kerbal Space Program—yes, the one with the little aliens building rockets—now has its own launcher for the Steam version of the game, announced as “a resource for news and updates about KSP & KSP 2 Early Access.”
Publishers, please, we’re begging you. This sucks. As the best comment in that Steam discussion says, “GAMES ON STEAM DO NOT NEED A LAUNCHER. STEAM IS THE LAUNCHER.”
In this case it hasn’t worked; the NLRB’s ruling today clears the path for the workers to vote on forming a union, disagreeing (in a detailed breakdown explaining each of the studio’s departments, how their work differs and how underpaid testers are) with Activision’s claims that “we believe every employee in Albany who works on Diablo should have a direct say in this decision”.
The ruling concludes:
Based on the above, I conclude that the employees in the petitioned-for unit share a community of interest. I have also considered the similarities that exist among the developers and compared this to the testers. Developers are organized in separate departments, but departments that ultimately report to the head of the Diablo franchise. Developers have a diverse set of skills, training, and duties, but use these skills in a complementary manner in a production process that includes significant amount of contact and a high degree of functional integration. Compensation varies, but many terms and conditions of employment do have overlap among the developers.
Comparing the developers’ community of interest to that of the testers I find that the distinct interests of the testers outweigh the similarities that exist with the developers. As noted, the testers participate in the same game development process that includes significant contact and functional integration. However, testers are separately organized in their own department and their supervisory hierarchy is entirely separate from the Diablo franchise. Testers also have a specific set of skills and duties different from the developers. Finally, testers are paid significantly less than developers. Moreover, the evidence of interchange between testers and developers is extremely limited. For these reasons I find any shared interests between the testers and developers do not outweigh the separate interests that make the petitioned-for unit an appropriate unit.
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The ruling instantly clears the path for an election, which will begin soon; ballots will be sent out on October 27, with votes being counted on November 18.
A current employee at the studio, though not one of the testers involved in the vote, told the Washington Post“It’s about time. Our QA testers are some of the most talented and skilled people working in our company and they are critically undervalued by corporate. I think that all games workers need a union, but QA is in especially dire need.”
Update 10:00pm ET: Lulu Cheng Meservey, Activision Blizzard’s Executive Vice President, Corporate Affairs and Chief Communications Officer, has responded to the finding on internal communications, writing:
Hey all, quick heads up on something important. It’s a long one but wanna be thorough so thanks for bearing with me. This afternoon the NLRB (national labor relations board) determined that -20 QA (quality assurance) testers working on Diablo in Albany will be eligible to form a union and if the union wins the vote will be included in the bargaining unit.
Where the company stands on that: fully respects the NLRB process, and fully supports the employees’ right to choose how they want to be represented. Also has the view that people who work closely together should be able to make decisions like that collectively – ie, we disagree that a handful of employees should get to decide for everyone else on the future of the entire Albany-based Diablo team. We think a direct dialogue between company and employees is the most productive route.
Examples: through direct dialogue we’ve already converted contingent QA staff to full time, increased pay, increased benefits, opened up access to the bonus program, and offered more opportunities for professional advancement (which would also result in more pay).
We feel collective bargaining is comparatively slow- once agreement is in place takes over a year on average according to a Bloomberg analysis. During the long contract negotiation companies from giving any pay/bonus/benefit increases without a special arrangement with the union, and the Bureau of Labor Statistics has reported that non-union employees generally get larger pay raises than union-represented groups. That’s consistent with what we saw with Raven, where there have only been three bargaining sessions since the union was certified there almost 6 months ago, due partly to the union cancelling pre-planned bargaining sessions for a month.
I’m sharing all of that because having a streamlined process is a reason why the company prefers direct discussions – but ultimately it’s up to employees and everyone should get to vote their own preference in a fair election.
What happens next with this is that ballots will be mailed to eligible Albany-based employees on Oct. 27, need to be returned by Nov. 17, and will get counted by the NLRB on Nov. 18.
More to come as the process continues but wanted to share asap. Thanks so much for reading everyone.