Microsoft Strikes Deal to Deliver AI Tool to Character Development for Xbox Studios

While much of the games industry has pushed against AI, Xbox devs will have those tools available. Microsoft has partnered with Inworld AI for a multi-year deal to develop tools for character development for Xbox studios. For characters in games that utilize these tools, it will also be meant for devs to “assist and empower creators in dialogue, story & quest design.”

Microsoft and Inworld AI Designing Tools for Character and Story Design for Xbox Studios

In a statement from Microsoft from Haiyan Zhang, general manager of gaming AI for Xbox, the partnership will include various toolsets. It is said to help devs “explore creative ideas” and will turn “prompts into detailed scripts, dialogue trees, quests, and more.” It will also include an “AI character runtime engine,” creating “dynamically-generated stories, quests, and dialogue for players to experience.”

Inworld has dedicated itself to advancing AI for NPCs. It has tested it by having NPCs react to questions from a player, also generated by AI, like from ChatGPT. It can be used narratively or for direct interaction with players.

The industry has largely dismissed the use of AI to develop games for various ethical reasons. Microsoft will have these AI tools to develop a character or story as an option for devs. While it is still an early development in the industry, we have seen how it can create a backlash from devs and fans when used. During the beta of The Finals, it was revealed some actors were voiced not by humans but generated by AI. It received a significant backlash that tainted its open beta.

AI has been pushed to be used in other creative fields. It is a major contention point in the SAG-AFTRA strike as studios wanted to use people’s likenesses and replace them with an AI-generated version. It was an important reason for writers during the WGA strike earlier this year, as studios wanted scripts written by AI. Screenwriters for TV and film now have strict rules on AI when their deal was solidified.