Krafton has declared it will operate as an “AI-first” company moving forward. The South Korean publisher behind PUBG announced the shift as a company-wide mandate that extends to all its studios and projects.
The policy means AI will be embedded throughout the entire organization. Game planning, development, art production, code assistance, QA testing, localization, live operations, customer support, and corporate functions like HR and finance will all incorporate AI tools.
This includes Tango Gameworks, the studio behind Hi-Fi Rush. Krafton became Tango’s parent company after Microsoft shut down the studio in 2024. The developer previously created The Evil Within series and Ghostwire: Tokyo before releasing the rhythm-action game Hi-Fi Rush to critical acclaim in 2023.
Krafton leadership positioned the move as a core management principle rather than a single initiative. The company plans to upskill existing staff, hire for AI-focused roles, and build internal platforms to standardize AI use across teams.
The publisher cited rising development costs and longer production timelines as key drivers behind the decision. Games have become increasingly expensive to make, pushing publishers to find efficiency gains wherever possible.
Krafton’s portfolio extends beyond PUBG. The company owns Unknown Worlds (Subnautica series), 5minlab, RisingWings, and other studios. It’s currently developing InZOI, an ambitious life-simulation game, alongside multiple unannounced projects.
The announcement didn’t specify exactly how AI will be implemented at Tango Gameworks or what this means for future projects. Krafton stated it would establish governance frameworks to handle IP protection, data security, and human oversight for AI-generated work.
What this means for game development
AI adoption in game production typically covers several areas. Code assistance and debugging help programmers work faster. Automated QA can catch bugs across different hardware configurations. Localization tools provide first-pass translations that human editors refine.
Content creation pipelines use AI for asset upscaling, texture variations, environment population, and animation assists. Live-ops teams apply AI to player behavior analytics and support ticket triage. Anti-cheat systems already rely heavily on machine learning to detect suspicious patterns.
Krafton joins other major publishers formalizing AI strategies. Ubisoft has deployed its Ghostwriter tool for NPC dialogue. Square Enix emphasized generative AI in recent strategy communications. Bandai Namco operates dedicated AI research labs.
