Elon Musk to launch AI gaming studio to challenge big corporations and redefine video game industry- Details

Elon Musk has revealed plans to launch a new AI-powered gaming studio under his artificial intelligence company, xAI. The studio aims to take on what Musk describes as “massive corporations” that dominate the gaming industry, pushing video games that he believes are ideologically driven. The announcement came after a post by Dogecoin co-founder Billy Markus, who criticized the current direction of gaming.

Markus voiced concerns over the gaming industry’s shift towards ideological themes, noting that gamers traditionally resisted corporate greed and manipulation. In his post on X, he said, “I don’t understand how game developers and game journalism got so ideologically captured. Gamers have always rejected dumb manipulative bs and can tell when someone is an outsider poser.” Musk responded, stating that his new gaming studio will “make games great again,” referencing the slogan associated with the MAGA movement, which he had supported during the U.S. presidential election.

Also read: Retired man from Mumbai ‘invests’ ₹11.1 crore online to get richer. Scammed

Musk’s Ongoing Critiques of the Gaming Industry

Musk’s remarks follow previous criticisms he has made of the gaming industry. For example, he expressed his disapproval of a pronoun selection feature in the upcoming Xbox game Avowed. Musk labeled the inclusion of pronouns in the game as “utterly unacceptable,” emphasizing his opposition to X with a comment and an angry emoji.

Also read: Ed Sheeran announces 2025 India tour: Dates, cities, ticket pre-booking, and exclusive offers revealed

Controversy Over Hiring Practices at Microsoft

The announcement also comes amid growing concerns about inclusivity within gaming companies. Musk recently reacted to a post alleging that Microsoft’s gaming division was discriminating against white candidates in its hiring practices. The post claimed that Microsoft was excluding white candidates in favor of hiring “unqualified queer and black people,” a statement Musk challenged by tagging Microsoft CEO Satya Nadella, calling the practice “illegal.”

Also read: Australia bans social media for children under 16. Meta, TikTok unhappy

xAI, launched by Musk in July 2023, began as a competitor to OpenAI’s ChatGPT. The company has made headlines with its plans to release its AI model, “Grok,” as open-source software, allowing public access to its code. In May, xAI secured $6 billion in Series B funding, pushing its valuation to $24 billion. The company is now preparing for another fundraising round, with expectations that it could reach a $50 billion valuation within six months.