A senior executive at Google Cloud revealed that artificial intelligence is already widely used in video game development, even though many studios do not publicly acknowledge it.
Speaking in an interview published on Thursday, April 23, 2026, Jack Buser, global director for games at Google Cloud, said most major developers rely on AI tools to support production.
“I think what players don’t realize is that their favorite games right now were already built with AI,” Buser said. “Those games have shipped.”
He added that a survey conducted around Gamescom in 2025 found that “roughly nine out of 10” developers reported using AI in some form. However, he noted that some studios remain reluctant to disclose this publicly due to concerns about negative player reactions.
According to Buser, AI is primarily used to handle repetitive and time-consuming tasks rather than core creative work. These include generating early design ideas, assisting with environmental details, and streamlining production processes.
He cited Capcom as an example of a developer using AI tools to improve efficiency. The company, known for major franchises such as Resident Evil, has said it is testing AI applications across graphics, sound, and programming to “improve efficiency and productivity in game development.”
Buser explained that such tools can generate large volumes of ideas for in-game assets, which are then reviewed and refined by human designers. This allows creative teams to focus on key elements such as characters, major scenes, and gameplay systems.
AI could significantly reshape the economics of game development. In a research note released on Wednesday, April 22, 2026, Morgan Stanley said automation could reduce development costs by nearly half by replacing labor-intensive tasks such as environment creation, dialogue generation, and software testing.
The report also stated that AI could contribute to higher revenues by increasing player engagement and encouraging spending on in-game purchases, additional content, and subscriptions.
However, the gains are expected to be uneven. Large publishers and platform operators, including Take-Two Interactive, Electronic Arts, Tencent, and Sony, are seen as better positioned to benefit due to their access to extensive user data, established franchises, and distribution systems.
Morgan Stanley estimated that AI could generate an additional $22 billion in annual revenue for the gaming sector.
Global consumer spending on video games is projected to reach $275 billion in 2026, according to estimates cited by Reuters. About 20 percent of that total, roughly $55 billion, is expected to be reinvested into game development and ongoing operations.
From the look of things, lower production costs could lead to more games being released within shorter time frames, increasing competition, particularly among mid-sized developers. At the same time, companies may place greater emphasis on expanding their existing franchises through updates and downloadable content, supported by AI-driven systems.
