Microsoft's strong belief in AI is evident through their significant investment of $10 billion with OpenAI. The company is committed to integrating AI into all its products, including Xbox. Tim Stuart, the CFO of Xbox, expressed his optimism about the impact of AI on the future of gaming and sees it as a positive shift without discussing its potential downsides. At the Wells Fargo TMT Summit, he shared his excitement for the technological shift in the gaming industry and likened AI to previous game-changing developments such as online gaming and mobile games.
According to Stuart, developers spend large sums on localization, scripting, and other elements, and he is of the opinion that "AI is capable of handling all of that."
Instead of having to write extensive scripting or code, Stuart explained, "You can simply instruct the AI to get you from point A to point B." Furthermore, Stuart mentioned that AI can assist with localization and game testing. He also highlighted the potential for AI to help Microsoft increase profits. To illustrate, Stuart provided an example of how a game like Minecraft could utilize AI to identify areas where players encounter difficulties, and more importantly, for the company, where they are spending money.
He approximated that there are about 100,000 game developers worldwide, but he stated that with AI, the potential number of game developers could reach into the millions.
"Anyone in this room has the potential to become a game developer. Even the barista at your local Starbucks who has a fantastic game idea can use AI to create an excellent mobile experience," Stuart remarked. He continued by stating that while some AI-generated mobile games may succeed and others may not, he anticipates a new wave of game creators in the future due to AI.
Stuart highlighted the potential for AI to enhance the gaming experience for consumers, using the example of playing Minecraft and engaging with characters like Hermione from Harry Potter through AI. However, he did not address the potential impact of AI on developers, a significant concern for many. EA CEO Andrew Wilson has expressed optimism about AI's future role in gaming while acknowledging the possibility of job displacement.
Prior to this, Xbox executives such as Phil Spencer and Sarah Bond expressed optimism about the potential of AI and did not address concerns about potential job losses. Through a partnership with Inworld AI, Microsoft is already taking steps to develop AI-driven games without human involvement.
Microsoft made headlines recently in the AI field when OpenAI founder Sam Altman was dismissed from the company and then reinstated a few days later. There were initial speculations about Altman joining Microsoft to lead a new internal AI research team, but this did not materialize. Despite this, Microsoft remains in partnership with OpenAI, and contrary to expectations, the AI company reportedly has no plans to grant Microsoft a board seat.
In other news, Stuart said during the same speaking event that Microsoft wants to launch Game Pass on PlayStation and Nintendo.
Editor's P/S
As a Gen Z netizen, I am excited about the potential of AI in gaming. I believe that AI can make games more immersive, engaging, and accessible. I am particularly interested in the potential for AI to create new and innovative game experiences. For example, I think it would be amazing to play a game where the AI could create new levels or challenges on the fly. I also think that AI could be used to create more realistic and believable characters.
However, I am also concerned about the potential impact of AI on the gaming industry. I worry that AI could lead to job losses in the gaming industry, as AI-powered tools could automate some of the tasks that are currently done by human developers.
Overall, I believe that AI has the potential to be a positive force in the gaming industry. However, it is important to be aware of the potential risks and to take steps to mitigate them.