It’s working on an AI copilot that can turn prompts into detailed scripts and quests.

Inworld AI

Xbox has teamed up with a startup called Inworld AI to create a generative AI toolset that developers can use to create games. It’s a multi-year collaboration, which the Microsoft-owned brand says can “assist and empower creators in dialogue, story and quest design.” Specifically, the partners are looking to develop an “AI design copilot” that can turn prompts into detailed scripts, dialogue trees, quests and other game elements in the same way people can type ideas into generative AI chatbots and get detailed scripts in return. They’re also going to work on an “AI character runtime engine” that developers can plug into their actual games, allowing players to generate new stories, quests and dialogues as they go.

On Inworld’s website, it says its technology can “craft characters with distinct personalities and contextual awareness that stay in-world.” Apparently, it can provide developers with a “fully integrated character engine for AI NPCs that goes beyond large language models (LLMs).” The image above was from the Droid Maker tool it developed in collaboration with Lucasfilm’s storytelling studio ILM Immersive when it was accepted into the Disney Accelerator program. As Kotaku notes, though, the company’s tech has yet to ship with a major game release, and it has mostly been used for mods.

Developers are understandably wary about these upcoming tools. There are growing concerns among creatives about companies using their work to train generative AI without permission — a group of authors, including John Grisham and George R.R. Martin, even sued OpenAI, accusing the company of infringing on their copyright. And then, of course, there’s the ever-present worry that developers could decide to lay off writers and designers to cut costs.

Xbox believes, however, that these tools can “help make it easier for developers to realize their visions, try new things, push the boundaries of gaming today and experiment to improve gameplay, player connection and more.” In the brand’s announcement, Haiyan Zhang, General Manager of Gaming AI, said: “We will collaborate and innovate with game creators inside Xbox studios as well as third-party studios as we develop the tools that meet their needs and inspire new possibilities for future games.”

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