Krafton names new AI chief who says tech will amplify creativity, months after hiring freeze

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South Korean gaming publisher Krafton has promoted Kangwook Lee to Chief AI Officer, claiming AI will amplify human imagination and creativity. The appointment follows a hiring freeze, voluntary resignation programme, and $88 million investment in AI technology, raising questions about the company's commitment to human talent.

Krafton Elevates AI Leadership Amid Workforce Restructuring

Krafton has appointed Kangwook Lee as its new Chief AI Officer, marking another step in the South Korean developer and gaming publisher's aggressive push into artificial intelligence

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. Lee, who has served as Head of Krafton AI since 2022, will now oversee the company's AI R&D operations and mid-to-long-term innovation strategy. The promotion comes just three months after Krafton announced a hiring freeze and launched a voluntary resignation programme, following a record-breaking quarter in November

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In his new executive role, Kangwook Lee stated that "Krafton uses AI as a tool to amplify human imagination and creativity, not replace it," emphasizing that the company will "continue to explore future possibilities backed by AI innovation and data for long-term growth and player value"

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. However, this messaging stands in stark contrast to the company's recent decision to invest $88 million in AI technology while simultaneously reducing its human workforce

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AI NPCs and Co-Playable Characters Take Center Stage

Under Lee's leadership, Krafton has already launched several AI-driven initiatives in videogame development. The company collaborated with Nvidia to develop Co-Playable Characters, AI-driven companions designed for real-time interaction between players and in-game teammates

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. These AI NPCs first appeared in inZoi, Krafton's life simulation game, featuring Smart Zoi NPCs that can adapt to the environment and respond to events around them

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Source: Wccftech

Source: Wccftech

The technology will soon expand to PUBG through the PUBG Ally system, built on NVIDIA ACE technology and running a Small Language Model on-device

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. These AI NPCs can discuss strategies with players, adapt their playstyle, bring requested items, assist in reviving teammates, and make independent decisions during looting, combat, and survival situations. The system already supports English, Korean, and Chinese, with first tests planned early this year in PUBG: BATTLEGROUNDS Arcade

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AI First Strategy Extends Beyond Gaming

Krafton has branded itself as "AI First" for some time, and Lee's promotion signals the company's continued investment in AI across multiple domains

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. The company's AI strategy focuses on three core areas: enhancing operational efficiency by streamlining workflows and reducing repetitive tasks, developing AI-driven gaming experiences, and exploring physical AI and robotics through Ludo Robotics, a Korean subsidiary that will also be led by Lee

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The tension between Krafton's public messaging about amplifying human creativity and its workforce decisions raises questions about the real impact of AI in the gaming industry. While the company claims AI enhances rather than replaces human talent, the simultaneous hiring freeze and resignation programme suggest a different reality for current and prospective employees

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. Most gamers remain skeptical of AI integration in game development, as evidenced by recent controversies in the industry

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. Whether Krafton's aggressive bet on AI technology will pay off in creating better gaming experiences while maintaining its workforce remains to be seen.

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