

Japanese publisher Sega has confirmed plans to integrate AI development practices into its game creation, but it is prioritizing caution. According to an investor Q&A that comes directly from Sega (h/t GamesIndustry.Biz), Sega will employ the technology “selectively”, acknowledging the “strong resistance” it faces within creative teams.
Here’s a snippet from the investor Q&A that helps us understand what Sega is thinking:
“Rather than fully following the trend toward the large-scale development, we will also pursue efficiency improvements, such as leveraging AI. However, as AI adoption can face strong resistance in creative areas such as character creation, we will proceed by carefully assessing appropriate use cases, such as streamlining development processes.”
The company’s focus on efficiency is understandable given its recent financial performance, which saw an 8.5% dip in net sales for the year ending March 30, 2025.
The Controversial AI Conversation Continues
Whether it’s Embark’s use of AI in Arc Raiders or an EA Dice executive finding AI use “seducing,” we’ve talked about AI in games plenty of times before. This ongoing dialogue keeps intensifying with new events, such as Epic Ceo Tim Sweeney stating that Steam should drop its AI tags.
“AI slop” is a term that gets thrown around a lot these days and underscores the deep distrust the community harbors toward generative AI. In artistic areas of game development, such as character, asset, or music creation, AI use gets the most heat. However, people like Tim Sweeney and Nexon Ceo Junghun Lee are adamant that AI use will be employed by most developers and publishers. Whether that’s generative, creative use that undermines actual artists, or more efficiency-driven applications, that’s up to developers and executives to decide.
Sega’s chosen path, which focuses more on “efficiency improvements,” shows that they are highly aware of the intense and high-stakes environment right now. We can only hope that their commitment is more aimed toward adopting tools that speed up processes like asset optimization, testing, and debugging. For now, they do seem to be skeptical of eroding core artistic talent and fan trust surrounding legacy franchises like Sonic and Yakuza.
Of course, all of this could change in an instant. Executives, shareholders, and the board follow the money, and if generative AI is the way to it, they will commit to it. For now, it seems like opinions are split across the board, and we’re curious to hear yours down in the comments.