
Why Game Studios are Doubling Down on Web3 and AI - Is this a Massive Mistake?

Gaming has always been about the experience. The thrill of losing yourself in an epic world, battling monsters, completing quests, and connecting with other players. But now?
The industry's biggest studios seem hell-bent on turning the entire thing into a tech-heavy, profit-churning machine. Enter Web3 and AI two buzzwords that are supposed to "revolutionize" gaming, but are more likely to leave the gaming community feeling betrayed.
Let’s face it: gaming studios are desperate to stay relevant, and Web3 and AI are the latest trends they’re trying to force into our hands. But is this really what we need? Or is this just the next cash grab disguised as innovation?
1. The Web3 Gambit: NFTs, Play-to-Earn, and Digital Ownership
Web3 is the next evolution of the internet or so the hype machine says. It’s supposed to offer "decentralized" systems where players own their in-game assets via NFTs.
In theory, it sounds appealing: no more losing rare items when a game shuts down, and maybe even the ability to make money off the things you "own." In practice? It's a convoluted mess.
Ubisoft has been one of the most vocal proponents of Web3 in gaming. In December 2021, they launched Quartz, a platform designed to integrate NFTs into their games like Ghost Recon Breakpoint. Players could purchase "Digits," which were essentially NFTs tied to in-game items.
The problem? Most players didn’t want them. The backlash was swift and brutal, with Ghost Recon Breakpoint players criticizing the addition of NFTs as a gimmick and a money grab. Many felt that Ubisoft was prioritizing profits over player experience, and they were right.
Ubisoft’s approach to NFTs feels more like a desperate attempt to stay relevant in a market where studios are scrambling to capitalize on blockchain technology.
After the public outcry, Ubisoft insisted that NFTs were "the future" of gaming, but the platform was quietly scrapped just months after launch. The damage had been done. Instead of offering players something valuable, Ubisoft only succeeded in alienating their fanbase.
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And it’s not just Ubisoft. Other major studios, like Square Enix, have dabbled in the Web3 space as well, exploring ways to integrate NFTs and blockchain technology into their games.
But here's the truth: players don’t want their games to be “play-to-earn” schemes. They want engaging stories, immersive worlds, and fun gameplay, not another way for publishers to cash in on their time and money.
2. AI in Gaming: The Future or Just More Lazy Development?
AI in gaming is supposed to be the magic bullet that transforms how we interact with virtual worlds. Imagine NPCs that learn from your actions, environments that adapt to your playstyle, or even procedural worlds that feel alive and unpredictable. It all sounds incredible on paper, right?
The reality, however, is that AI is being used by studios primarily to cut corners and automate tedious aspects of game design.
Take Red Dead Redemption 2 for example. The game has some of the most advanced AI-driven systems for NPC behavior, from the way NPCs interact with each other to how they respond to the player. It’s a game that truly uses AI to enhance player immersion.
But not every studio is willing to put in that level of effort. Instead, many are using AI to automate content creation, including procedural generation and even game testing.
Ubisoft, once again, is leading the charge with AI. They’ve been using AI to streamline game development by automating certain aspects, like animating NPCs and generating environments. In theory, AI could help create richer, more dynamic worlds.
But in reality, what it’s doing is reducing the amount of human effort and creativity involved in game design. AI-generated worlds are often lifeless, repetitive, and predictable like a factory churning out assembly-line content.
And it's not just Ubisoft. Other studios are leaning into AI for procedural generation, which sounds fancy, but often leads to repetitive, soulless environments that feel more like a simulation than a real, living world. AI may make things faster, but it doesn't necessarily make them better.
3. The Hype Machine: Studios Cashing In on Buzzwords
Let’s talk about buzzwords. Web3. Blockchain. NFTs. AI.
These terms are thrown around like they’re the keys to the future of gaming, but let’s be honest: they're just trendy ways for studios to sell more "innovative" concepts to investors and maybe trick a few gamers into thinking they’re getting something groundbreaking.
Ubisoft isn’t alone in pushing this agenda. Square Enix, with their Final Fantasy franchise, has expressed interest in integrating blockchain into their games, promising players the ability to "own" in-game assets.
But here’s the kicker: Final Fantasy XIV, one of the most beloved MMORPGs of all time, thrives on a model where players can’t "own" anything in the game because it’s not necessary.
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The focus is on community, storytelling, and shared experiences, not on monetizing every in-game transaction.
These studios aren’t about creating innovative new game mechanics or offering players more meaningful experiences.
They’re more interested in jumping on the Web3 bandwagon to capitalize on a technology that’s far from proven while waving around buzzwords to keep the investors happy.
When you start hearing the same terms over and over again “Web3,” “play-to-earn,” “blockchain” you should be asking yourself: Who benefits from this?
Spoiler: It’s not the players.
4. The Road Ahead: Will Web3 and AI Actually Take Over?
The big question is: will Web3 and AI take over the gaming world? Web3 proponents argue that blockchain technology could revolutionize how we think about ownership in games.
But for every success story like Axie Infinity which allowed players to earn real money through gameplay countless failed projects promise the same but deliver nothing more than overpriced assets and a fractured community.
Conversely, AI has real potential to improve game design, but only if studios are willing to put in the effort. While AI can make NPCs smarter and game worlds more reactive, it’s also being used as a shortcut to automate everything that requires human creativity.
Studios are embracing AI for its efficiency, not its ability to create more immersive, thoughtful gaming experiences.
If these trends continue, we might see a future where games are less about meaningful interaction and more about monetizing every aspect of gameplay.
In a world where studios value profit over player experience, the focus will shift from crafting stories and worlds to creating systems that keep players grinding for digital currency or trading NFTs. It’s not a future most gamers want.
Conclusion
While studios focus on Web3 and AI, they overlook the one thing that matters most: the players. These technologies promise innovation, but they’re more likely to result in shallow, profit-driven models alienating the people who make gaming what it is.
Until studios start prioritizing the player experience over the next big trend, we’re in for a future where games are less about escaping reality and more about finding new ways to monetize your time.
So next time a studio tells you that Web3 is the future of gaming, ask yourself: Who’s actually benefiting here?