Science & Technology

Morgan Stanley Characterizes Microsoft and Sony as AI Winners in Games

Morgan Stanley analysts suppose that platforms such as Microsoft Corp.’s Xbox and Sony Group Corp.’s PlayStation will be the most clear-cut beneficiaries of the integration of artificial intelligence into the gaming industry.

Morgan Stanley Characterizes Microsoft and Sony as AI Winners in Games

In a note published by experts of this financial institution, led by Matthew Cost, it is stated that platform companies should be more isolated from those failures, the risk of which arises as a result of the use of machine intelligence. Analysts also hold the opinion that the mentioned platforms are most likely to become the main means of distributing AI tools.

Experts noted that other companies also belonging to the category of potential beneficiaries of the integration of artificial intelligence into the gaming industry are Unity Software Inc., Roblox Corp., and Tencent Holdings Ltd.

According to analysts, for sphere video games, machine intelligence is a chance to transform a business strategy, which in some cases is what can be described as a set of template standards with questionable expediency. Also, AI for this industry means the opportunity to change the concepts of activity, described by experts as overblown.

Currently, gaming companies are introducing artificial intelligence into their technological spaces and developing tools based on AI. Experts say that these efforts are partly a response to costs showing growth and stagnation of prices for the mentioned firms’ products.

Analysts also suppose that artificial intelligence tools are likely to change the way video games are created. At the same time, experts note that the consequences of actively applying AI for publishers can be ambiguous. They say that advanced technology can potentially reduce the cost of creating and operating top-level AAA games by 15%, but competition will increase in parallel.

Analysts talk about the obvious advantage of artificial intelligence for major publishers of AAA games, including Ubisoft Entertainment SA, Nexon Co., and Take-Two Interactive Software Inc.Smaller companies such as Playtika Holding Corp. will not benefit as much and may even suffer from lower barriers to entry.

As we have reported earlier, UBank and Aeropay to Provide Financial Services for Gaming Industry.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.