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According to the analysts’ projections, these platforms are likely to serve as key distributors of AI tools, which could lead to the reformation of bloated and formulaic business models prevalent in the industry. The introduction of AI is anticipated to reduce the cost of producing and operating AAA games by up to 15%.
This reduction in costs could result in a significant boost in earnings for major AAA game publishers. Ubisoft Entertainment, Nexon, and Take-Two (NASDAQ:TTWO) Interactive Software may witness a 10% increase in earnings due to these reduced costs.
However, the AI revolution may not be as beneficial for smaller publishers such as Playtika Holding. These entities may face lower barriers to entry and intensified competition as a result of AI deployment in the industry. This shift could potentially limit their ability to reap substantial benefits from AI implementation.
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