Krafton Announces Major AI Transformation Strategy for Game Development

Major Strategic Pivot Toward Artificial Intelligence

Krafton, the South Korean gaming company known for PUBG: Battlegrounds and the upcoming life simulation game InZOI, is undergoing a significant transformation toward artificial intelligence integration, according to company reports. The developer has announced an “AI First” strategy that will reshape its operational structure and development processes through extensive automation and AI-centered management systems.

Major Strategic Pivot Toward Artificial Intelligence
Substantial Infrastructure Investment
Organizational Restructuring and Employee Training
Industry-Wide AI Adoption Trend
Long-Term Strategic Implications

Substantial Infrastructure Investment

The company plans to allocate more than 100 billion Korean won, equivalent to approximately $70 million, toward building a comprehensive GPU cluster infrastructure, sources indicate. This substantial investment will support what the company describes as “AI workflow automation” while simultaneously strengthening research and development capabilities and enhancing in-game AI services. Reports suggest Krafton aims to complete its AI platform by the second half of 2025.

Organizational Restructuring and Employee Training

As part of the strategic shift, Krafton will reportedly invest approximately ₩30 billion annually to help employees integrate AI tools into their daily workflows. The company also plans to restructure its human resources and organizational operations to align with the new “AI First” direction. Analysts suggest this comprehensive approach indicates a fundamental reimagining of how the company operates rather than simply adding AI as an additional tool.

Industry-Wide AI Adoption Trend

Krafton’s move reflects a broader trend among technology companies embracing artificial intelligence for operational efficiency. Companies like Shopify and Duolingo have similarly made AI central to their internal operations. According to industry observers, the gaming sector may see more major players following suit, with recent reports from the Financial Times indicating that investors planning to take Electronic Arts private are betting on AI-based cost reductions to significantly boost profitability in coming years.

Long-Term Strategic Implications

The transition to an “AI first” development approach represents one of the most significant strategic shifts in Krafton’s history since the success of PUBG: Battlegrounds. By building dedicated GPU infrastructure and restructuring around artificial intelligence principles, the company appears positioned to potentially revolutionize both its development pipeline and final product offerings. Industry analysts will be watching closely to see how this substantial investment in AI technology translates to tangible improvements in game development efficiency and player experiences.

References

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