The AI debate in gaming has gotten loud, and most studios are tiptoeing around it. Pocketpair just did the opposite. The team behind Palworld came right out and said it won’t use generative AI, and the reasoning is refreshingly simple. No long PR statement, no hedging. Just a flat “players don’t want it.” Here’s what was actually said, why it matters, and how it fits into a bigger fight that’s splitting the whole industry right now.
What Pocketpair Actually Said
Speaking to GamesRadar+, Pocketpair’s publishing and communications head John Buckley kept it short. Gamers don’t want generative AI, so for him there’s not much of a conversation to be had.
Two reasons sit behind that. First, the audience is clearly against it. Second, Pocketpair’s in-house artists like doing the work themselves, and the studio doesn’t need the tech to fill gaps. Honestly, that second point is the more interesting one. This isn’t a studio dodging AI for PR safety. The people doing the creative work just aren’t asking for it.
Why Won’t Pocketpair Use AI in Palworld?
It comes down to demand and talent. Players push back hard on AI assets, and Pocketpair already has the artists to cover its own work. So the math is easy for them.
There’s some irony here too. Pocketpair has spent the past year shutting down false claims that Palworld used generative AI for its creatures and designs. Buckley has pointed out that these accusations are tough to kill, because you’re relying on people to trust a company they’ve already decided not to trust.
One nuance worth flagging. Buckley’s stance is specifically about art and assets. He’s less certain on AI-assisted coding tools, and treats that side of the conversation as still open.
The Publishing Catch No Studio Can Ignore
This goes beyond Palworld itself. Pocketpair launched a publishing arm to fund other studios, and it got flooded with pitches fast. But there’s a hard line. As Buckley told Game Developer, the studio simply doesn’t believe in the tech.
If your game leans on generative AI, Web3, or NFTs, Pocketpair isn’t your publisher. That’s a real money decision, not just talk. It tells you where the studio actually puts its weight when it comes to AI tools and their real use cases.
Is the Game Industry Splitting Over AI?
It really looks that way. On one side you’ve got Epic CEO Tim Sweeney calling “Made with AI” tags pointless, arguing AI will sit inside nearly all future game production. On the other, Buckley expects a “human-made” identity to grow as a response to AI slop.
The numbers show why this matters. Roughly 1 in 5 games released on Steam in 2025 disclosed using generative AI, a jump of around 700% since 2024. That’s a flood, and players are noticing.
Storefronts are reacting too. Steam’s AI disclosure form was updated in January 2026 to focus on player-facing AI content, while leaving behind-the-scenes efficiency tools out of it. So the line between “built with AI” and “filled with AI” is becoming the thing players actually care about. It’s the same instinct behind judging games on real performance and honest benchmarks instead of marketing.
Final Thoughts
A few things stand out here. Pocketpair is betting that human-made still means something to players, and it’s backing that with real funding rules. The industry is clearly drifting into two camps, and Pocketpair has picked its side without much fuss. For a studio that spent a year being wrongly accused of using AI, planting this flag feels like the most fitting move it could make.
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