Localthunk, the developer behind the popular roguelike poker game Balatro, has intervened in a controversy surrounding AI art on the game's subreddit. The situation began with DrTankHead, a former moderator of the main Balatro subreddit and current moderator of its NSFW counterpart. DrTankHead had previously stated that AI art would be permitted on both subreddits, provided it was properly attributed and tagged, claiming this decision was made "after discussion with the staff at Playstack."

However, Localthunk contradicted this statement on Bluesky, clarifying that neither they nor their publisher, Playstack, approved of AI-generated imagery. Localthunk subsequently issued a statement on the subreddit itself, stating: "Neither Playstack nor I condone AI 'art'. I don't use it in my game, I think it does real harm to artists of all kinds. The actions of this mod do not reflect how Playstack feels or how I feel on the topic. We have removed this moderator from the moderation team. We will not be allowing AI generated images on this subreddit from now on. We will make sure our rules and FAQ reflect this soon."

Playstack's communications director later explained that the subreddit's rules regarding AI content were unclear, noting that a rule prohibiting "unlabeled AI content" could have been misinterpreted. The remaining moderators are working to clarify the subreddit's rules.

DrTankHead, in a post on the NSFW Balatro subreddit, acknowledged their removal from the main subreddit's moderation team. While stating that the NSFW subreddit isn't intended to be solely focused on AI art, they are considering allowing non-NSFW AI-generated art on specific days. One user responded to this suggestion with: "Please just get off Reddit for a week or two."

The debate over generative AI is intensifying within the video game industry, particularly given recent widespread layoffs. Concerns regarding ethical issues, rights violations, and the overall quality of AI-generated content remain prevalent. Keywords Studios' failed experiment in creating an entirely AI-driven game underscored the limitations of current AI technology, with the company stating to investors that AI was “unable to replace talent.”

Despite these challenges, major companies are continuing to invest heavily in AI. EA declared AI "the very core" of its business in September, and Capcom recently revealed its experimentation with generative AI for creating in-game environments. Activision also admitted to using generative AI for some assets in Call of Duty: Black Ops 6, following criticism of an AI-generated loading screen image.