Court Reinstates Unknown Worlds Leadership After AI Misstep

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Arabic version: محكمة تعيد قيادة Unknown Worlds بعد خطأ في الذكاء الاصطناعي

A US court has ordered the reinstatement of leadership at Unknown Worlds Entertainment, following a failed attempt by Krafton CEO Changhan Kim to circumvent a substantial bonus payment. The court’s ruling revealed that Kim employed ChatGPT in his strategy to avoid paying an earnout worth up to $250 million owed to the studio’s leadership.

According to The Guardian, the controversy began after Krafton acquired Unknown Worlds, the developer behind the popular Subnautica game, for $500 million in 2021. The agreement stipulated that the studio would remain independent and that its leadership could only be dismissed for cause.

As Unknown Worlds prepared for the release of Subnautica 2, internal projections indicated that the studio was on track to meet the earnout criteria. However, Kim expressed dissatisfaction with the arrangement, feeling he had been taken advantage of regarding the studio’s operations. Despite legal warnings about the implications of dismissing the studio’s leadership, Kim sought assistance from ChatGPT.

The AI initially cautioned that voiding the earnout would be difficult but later suggested forming a task force, named Project X, to negotiate or execute a takeover of Unknown Worlds. The task force implemented a series of strategies, including a communications plan aimed at maintaining fan trust and securing publishing rights for Subnautica 2.

Ultimately, Krafton removed the studio’s leadership, claiming they deceived the company about the diminishing amount of time they were spending at the studio—a claim the court found unsubstantiated. The ruling reinstated Ted Gill, the studio’s CEO, and extended the timeframe for meeting the earnout conditions. Krafton has since expressed its disagreement with the court’s decision and is assessing its options while continuing to focus on the upcoming game release.

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