Take-Two CEO: Generative AI to Boost Game Developers’ Value and Pay

Take-Two CEO Strauss Zelnick argues generative AI will boost video game workers' value and pay by enhancing productivity, not replacing jobs. Despite industry layoffs amid AI adoption, surveys show mixed developer optimism. Balancing innovation with upskilling is essential to prevent widening economic disparities.
Take-Two CEO: Generative AI to Boost Game Developers’ Value and Pay
Written by John Smart

In the rapidly evolving world of video games, where technological advancements often reshape job markets, Take-Two Interactive’s chief executive, Strauss Zelnick, has offered a contrarian perspective on artificial intelligence’s role. Speaking during the company’s recent earnings call, Zelnick argued that generative AI won’t displace workers but could instead elevate their earning potential. “If you know how to use generative AI, you’re going to be a more valuable employee, and you’re going to be paid more,” he stated, as reported in a detailed analysis by Business Insider. This optimism comes amid a backdrop of industry turbulence, with major players like Activision Blizzard incorporating AI into development processes while simultaneously announcing layoffs.

Zelnick’s comments highlight a belief that AI serves as a tool to enhance productivity rather than replace human creativity. He emphasized that mastering AI technologies could lead to specialized roles, potentially commanding higher salaries in an industry valued at over $180 billion globally. Take-Two, the parent company of Rockstar Games and publisher of hits like “Grand Theft Auto,” has itself navigated cost-cutting measures, yet Zelnick insists AI’s integration will foster growth. This view aligns with earlier statements where he dismissed fears of AI-induced unemployment as unfounded, pointing to historical tech shifts that ultimately expanded job opportunities.

Navigating Job Insecurity Amid AI Optimism: While executives like Zelnick paint a rosy picture, ground-level realities in game development tell a more nuanced story, with surveys revealing widespread concerns over layoffs even as some embrace AI’s potential.

Contrasting Zelnick’s stance, investigations into AI’s current impact reveal a darker side. A report from WIRED detailed how companies such as Activision Blizzard have used generative AI for tasks like art generation and coding, coinciding with significant staff reductions—over 1,900 jobs cut in early 2024 alone. This has fueled debates about whether AI is accelerating automation at the expense of entry-level positions, particularly in creative fields like concept art and scripting.

Despite these challenges, developer sentiment appears mixed but leaning positive. A 2025 survey highlighted in CCN found that 79% of game developers view AI’s impact favorably, seeing it as a booster for efficiency in areas like procedural content creation. However, the same report noted that layoffs have continued into 2025, affecting 11% of developers in the past year, up from previous figures, underscoring a tension between innovation and job stability.

Executive Visions Versus Developer Realities: Industry leaders are betting on AI to drive profitability, but frontline workers grapple with the immediate fallout, prompting calls for ethical guidelines to ensure equitable adoption.

Zelnick has consistently championed AI’s upside, as echoed in a February 2025 piece from GamingOnLinux, where he predicted increased employment and productivity, provided intellectual property rights are respected. He reiterated this in a Video Games Chronicle interview, arguing no new regulations are needed beyond existing IP protections. This perspective gained traction on social platforms, with posts on X (formerly Twitter) amplifying his views, including shares from industry accounts praising AI’s role in upskilling workers for premium roles.

Yet, not all voices agree. A Substack analysis by game developer Grant Abbitt, published in June 2025 and referenced in various X discussions, warned of “game over” scenarios where AI exacerbates job insecurity, with 41% of developers impacted by layoffs this year. Microsoft CEO Satya Nadella’s defense of similar cuts, prioritizing AI over gaming divisions as covered in a NotebookCheck article, further illustrates this divide, as tech giants redirect resources toward AI infrastructure.

Forecasting AI’s Long-Term Ripple Effects: As 2025 unfolds, the video game sector stands at a crossroads, where AI could either amplify human ingenuity or widen economic disparities, demanding proactive strategies from companies like Take-Two.

Looking ahead, Zelnick’s forecast ties into Take-Two’s ambitious plans, including the anticipated release of “Grand Theft Auto VI,” expected to shatter revenue records. Posts on X from users like gaming enthusiasts and analysts have speculated on how AI might streamline development for such blockbusters, potentially creating hybrid roles that blend programming with AI oversight. However, experts caution that without upskilling programs, AI could polarize the workforce, benefiting high-skilled talent while sidelining others.

Industry insiders suggest that companies must invest in training to realize Zelnick’s vision. As one anonymous developer shared in X threads, “AI isn’t the enemy; ignorance of it is.” This sentiment, echoed in recent web discussions, points to a future where AI literacy becomes a core competency, potentially leading to the better-paying jobs Zelnick envisions. Still, with ongoing layoffs—Take-Two itself reporting targeted cuts despite overall headcount growth, as noted in investor presentations—the path forward requires balancing innovation with worker protections to avoid deepening divides in this creative powerhouse of an industry.

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