In the high-stakes world of video game publishing, a bizarre legal drama is unfolding that pits artificial intelligence against corporate ethics. Krafton Inc., the South Korean powerhouse behind hits like PUBG, faces explosive allegations that its CEO, Changhan Kim, turned to OpenAI’s ChatGPT for advice on evading multimillion-dollar bonus payments to the co-founders of Subnautica developer Unknown Worlds. The claims, detailed in recent court filings, highlight a messy acquisition gone awry and raise questions about the role of AI in executive decision-making.

The saga began in 2021 when Krafton acquired Unknown Worlds for a reported $250 million, with earnout provisions tied to the success of Subnautica 2. According to a pre-trial brief filed by former Unknown Worlds bosses Charlie Cleveland and Jonas Boetel, Kim allegedly consulted ChatGPT to ‘brainstorm ways to avoid paying the earnout,’ fearing professional embarrassment and job loss for overpaying on the deal. Krafton has vehemently denied these accusations, calling them a distraction in a statement to Kotaku.

The Acquisition That Started It All

Unknown Worlds, the studio behind the beloved underwater survival game Subnautica, was riding high when Krafton swooped in. The acquisition included performance-based bonuses potentially worth up to $250 million, contingent on milestones like the timely release of Subnautica 2 in Early Access. But tensions escalated in August 2025, when Cleveland and Boetel were abruptly fired, just months before the game’s planned launch.

Legal documents accuse Kim of forming a secret ‘Project X’ task force to seize control of the studio and delay the game, thereby dodging the payouts. As reported by PC Gamer, Kim was allegedly worried about being seen as a ‘pushover’ and even discussed a ‘takeover’ in company Slack messages. These revelations come amid broader claims of damaged studio morale and forced delays.

AI Enters the Boardroom

The most sensational element is the alleged use of ChatGPT. According to the filings, Kim queried the AI for loopholes in the earnout agreement, seeking ways to restructure or delay without triggering payments. This isn’t the first time AI has meddled in legal matters; as noted in Futurism, lawyers have previously cited hallucinated cases from tools like ChatGPT, underscoring the tech’s unreliability.

Industry insiders are buzzing about the implications. ‘If confirmed, it could be yet another instance of the tech being used for ill-advised purposes,’ Futurism reported. Krafton’s response, per IGN, dismisses the ChatGPT claim as baseless, emphasizing that the firings were due to performance issues and that the company remains committed to Subnautica 2’s success.

Inside the Legal Battle

The lawsuit, filed in San Francisco Superior Court, seeks damages for breach of contract and wrongful termination. Cleveland, Subnautica’s designer and director, stated on X (formerly Twitter) that ‘Subnautica has been my life’s work, and I would never willingly abandon it or the amazing team that has poured their hearts into it.’ Posts on X from users like Dexerto echo community support, with over 320,000 views highlighting fan outrage.

Krafton counters that the co-founders’ leadership led to delays, and in an August statement, the company affirmed its willingness to pay out if milestones are met. However, the filings paint a picture of corporate intrigue, including accusations of evidence destruction, as mentioned in Futurism’s coverage.

Broader Implications for Gaming Mergers

This case underscores the pitfalls of earnout clauses in tech and gaming acquisitions. Similar disputes have plagued the industry, from Activision’s battles post-Microsoft merger to smaller studios facing post-buyout strife. As Game Developer detailed, ‘Project X’ allegedly involved infiltrating Unknown Worlds to undermine its independence.

Analysts point to Krafton’s aggressive expansion strategy. The company, valued at billions, has acquired multiple studios, but this fallout could tarnish its reputation. ‘It’s claimed that Kim fired the co-founders to avoid the bonus payout,’ reported TechSpot, linking it directly to the 2021 acquisition terms.

The Role of AI in Corporate Strategy

Beyond gaming, the allegations spotlight AI’s growing influence in business. OpenAI CEO Sam Altman has faced his own legal woes, as seen in X posts about lawsuits over ChatGPT’s safety. One post from Insider Paper notes a suicide-related suit against OpenAI, illustrating the tech’s double-edged sword.

Experts warn that relying on AI for sensitive decisions like this could invite regulatory scrutiny. ‘If you talk to ChatGPT about your most sensitive stuff and there’s a lawsuit, we could be required to produce that,’ Altman himself cautioned in a discussion shared on X by user Min Choi.

Community and Industry Reactions

The Subnautica community is divided, with fans lamenting potential delays. X posts from Kotaku, with over 323,000 views, amplify the story: ‘Krafton’s CEO allegedly asked ChatGPT how to get out of paying Subnautica 2 studio cofounders their bonus.’ PC Gamer’s coverage, viewed by thousands, calls it a ‘professional embarrassment’ for Kim.

Unknown Worlds’ remaining team has pushed forward, announcing Subnautica 2’s Early Access delay to 2026. Krafton insists this is for quality, but the lawsuit suggests ulterior motives. As the trial looms, industry watchers are eyeing how this could reshape AI use in executive suites.

Looking Ahead in the Gaming Landscape

As the case progresses, it may set precedents for AI accountability in business. For Krafton, resolving this amicably could restore trust, but prolonged litigation risks further damaging Subnautica’s legacy. The blend of cutting-edge tech and old-school corporate maneuvering makes this a cautionary tale for the digital age.

Meanwhile, Unknown Worlds’ co-founders remain vocal. Cleveland’s X post from July 2025, garnering over 107,000 views, expresses gratitude for community support amid the ‘explosive and surreal time.’ The outcome could influence future deals, emphasizing transparency in AI-assisted decisions.