Sega Says It Will "Leverage AI" In Game Development When Appropriate

Sega has decided that now's the time to join the myriad other companies in the games industry adopting artificial intelligence to streamline their development processes.

In response to a question about combating ballooning game development budgets, per VGC, Sega executives said during a Q&A session after the company's Q2 financial results presentation that it will use the most efficient development methods available. If that happens to be AI--which is becoming increasingly popular in the games industry as of late--then that's what Sega will use. It just won't be everywhere all of the time, apparently, but it will be there.

"Rather than fully following the trend toward the large-scale development, we will also pursue efficiency improvements, such as leveraging AI," the company said. "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."

Sega is the latest company to join the consortium of game publishers, from Activision and Square Enix to Sony and Krafton Inc., all hopping on the AI bandwagon. The controversial technology isn't everyone's cup of tea; many developers have pushed back against its ubiquity. However, a vast majority of the industry is either wholeheartedly embracing it, accepting it with skepticism, or outright expecting its widespread adoption.

It seems like the latter is happening. According to a September 2025 survey from the 2025 CESA Video Game Industry Report, some 51% of Japanese developers are using AI in some way to create games. And big-name industry figures--such as Epic Games CEO Tim Sweeney, former Nexon CEO Owen Mahoney, and Valve CEO Gabe Newell--are huge advocates for artificial intelligence. Despite all the high praise and financial backing the AI industry has received, some analysts believe the AI bubble is about the burst.

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