Videogame stocks slide on Google’s AI model that turns prompts into playable worlds
Shares of videogame companies fell sharply in afternoon trading on Friday after Alphabet’s Google rolled out its artificial intelligence model capable of creating interactive digital worlds with simple prompts.
Shares of “Grand Theft Auto” maker Take-Two Interactive and online gaming platform Roblox were down around 9% each, while videogame engine maker Unity Software dropped 19%.
The AI model, dubbed “Project Genie”, allows users to simulate a real-world environment through prompts with text or uploaded images, potentially disrupting how video games have been made for over a decade and forcing developers to adapt to the fast-moving technology.
