Take-Two Interactive cuts Head of AI and team members weeks after embracing generative AI

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Take-Two Interactive has laid off its Head of AI Luke Dicken and an undisclosed number of AI team members, just two months after CEO Strauss Zelnick announced the company was actively embracing generative AI. The timing raises questions about the gaming giant's AI strategy as it prepares for the Grand Theft Auto VI release.

Take-Two Interactive Cuts AI Team Despite Recent Commitment to Technology

Take-Two Interactive, the owner of Rockstar Games, has laid off its Head of AI Luke Dicken alongside an undisclosed number of AI team members, creating confusion about the company's artificial intelligence strategy. The layoffs come just two months after CEO Strauss Zelnick publicly stated that the company was "actively embracing generative AI" during an investor call

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Source: Beebom

Source: Beebom

Dicken shared the news in a LinkedIn post, writing, "It's truly disappointing that I have to share with you that my time with T2 -- and that of my team -- has come to an end"

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. When contacted for confirmation, Take-Two Interactive declined to comment on the layoffs

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Seven Years of Cutting Edge Technology Development Ends Abruptly

Dicken joined Take-Two Interactive as Head of AI in January 2025 after spending a decade at Zynga, which Take-Two Interactive acquired for $12.7 billion in 2022

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. Much of the company's AI team appears to have been established from Zynga's existing applied AI department

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In his LinkedIn post, Dicken emphasized that his team had been "developing cutting edge technology to support game development now for 7 years," specifically mentioning expertise in areas like "procedural content for games" and "machine learning"

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. At least four other team members posted similar departure announcements, including the director of AI research, the senior manager of SRE, and two senior data scientists

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Source: TechSpot

Source: TechSpot

Strauss Zelnick's Mixed Messages on Generative AI Role

The timing of these layoffs appears contradictory to recent statements from Strauss Zelnick about the company's AI strategy. During a recent investor call following the company's Q3 financial report, Zelnick stated: "We're actively embracing generative AI. We have hundreds of pilots and implementations across our company, including with our studios"

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. He further explained that the technology would help "drive efficiencies, reduce costs," and allow "mundane tasks become easier and less relevant, which frees up our creators to do the more interesting tasks of making superb entertainment"

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However, Zelnick has also been cautious about AI's creative capabilities. In March 2025, he stated he wasn't "worried about AI creating hits, because it's built on data that already exists," calling the technology "backwards-looking"

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. He has repeatedly emphasized that "generative AI has zero part in what Rockstar Games is building" with Grand Theft Auto 6

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Source: Engadget

Source: Engadget

Industry Backlash Against AI-Generated Content Intensifies

The layoffs occur amid growing player backlash against AI-generated content in gaming. Nvidia faced significant criticism over its DLSS 5 technology, with complaints that it made games look like "AI slop"

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. Additionally, OpenAI recently discontinued its Sora video app, while Disney pulled out of a $1 billion investment deal

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Take-Two Interactive's stock price previously fell to an 11-month low following Google's announcement of Project Genie, an experimental system that transforms text instructions into interactive video environments

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. Take-Two president Karl Slatoff was dismissive of the tool, stating "Genie is not a game engine" and that comparisons to game engines were not "even in the same ballpark"

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What makes these layoffs particularly unusual is that they target the people responsible for implementing AI within the company, rather than workers being replaced by AI automation. This reversal could signal shifting priorities as Take-Two Interactive prepares for the highly anticipated Grand Theft Auto VI release, a title expected to provide substantial financial resources for technological experimentation

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