Krafton, The Publisher Behind PUBG and Subnautica, Unveils 'AI First' Strategy with Voluntary Resignation Policy
South Korean gaming giant Krafton has announced its transformation into an "AI-first" company, a move that signals significant changes for the organization. According to Eurogamer, this shift in strategy is expected to lead to job cuts as the company aims to support its employees in adapting to the era of artificial intelligence.
While the exact number of jobs at risk is unclear, Krafton has confirmed that it will be offering voluntary resignations to help staff members design their own growth direction and explore new challenges within or outside the company. However, critics argue that this is a euphemism for "my way or the highway," where employees are being forced to choose between staying with the company's AI-driven vision.
Krafton owns several popular franchises, including PUBG and Hi-Fi Rush, and has recently reported record profits. These gains will likely be invested in large-scale AI projects, including an AI-centered management system that aims to automate work centered on agentic AI. The company is also freezing all hiring except for those developing original intellectual property and AI-related personnel.
However, recent studies have shown that agentic AI systems are often underwhelming when tasked with taking the reins. A MIT study found that 95% of generative AI pilots at companies are failing, while another predicts that 40% of agentic AI projects will be cancelled by the end of 2027. As Krafton embarks on this new strategy, it appears to be walking into a minefield.
The company's CFO, Bae Dong-geun, has emphasized the need for individual productivity to increase across all levels of the organization. It remains to be seen how this will translate into tangible benefits for employees and whether the rewards will outweigh the risks.
South Korean gaming giant Krafton has announced its transformation into an "AI-first" company, a move that signals significant changes for the organization. According to Eurogamer, this shift in strategy is expected to lead to job cuts as the company aims to support its employees in adapting to the era of artificial intelligence.
While the exact number of jobs at risk is unclear, Krafton has confirmed that it will be offering voluntary resignations to help staff members design their own growth direction and explore new challenges within or outside the company. However, critics argue that this is a euphemism for "my way or the highway," where employees are being forced to choose between staying with the company's AI-driven vision.
Krafton owns several popular franchises, including PUBG and Hi-Fi Rush, and has recently reported record profits. These gains will likely be invested in large-scale AI projects, including an AI-centered management system that aims to automate work centered on agentic AI. The company is also freezing all hiring except for those developing original intellectual property and AI-related personnel.
However, recent studies have shown that agentic AI systems are often underwhelming when tasked with taking the reins. A MIT study found that 95% of generative AI pilots at companies are failing, while another predicts that 40% of agentic AI projects will be cancelled by the end of 2027. As Krafton embarks on this new strategy, it appears to be walking into a minefield.
The company's CFO, Bae Dong-geun, has emphasized the need for individual productivity to increase across all levels of the organization. It remains to be seen how this will translate into tangible benefits for employees and whether the rewards will outweigh the risks.