Krafton becomes AI-first company, offers voluntary resignations amid record profits.

2 hours ago7 min read3 comments

In a move that encapsulates the modern corporate zeitgeist, South Korean gaming behemoth Krafton—publisher of global phenomena like PUBG and Subnautica—has formally declared itself an 'AI-first' company, a strategic pivot that has been immediately followed by the introduction of a voluntary resignation scheme for its workforce. This announcement arrives paradoxically on the heels of record-breaking profits, creating a stark dichotomy between corporate financial health and employee job security that is becoming a hallmark of this new industrial revolution.The company's rhetoric, framing this shift as 'supporting members in proactively designing their growth direction,' is a masterclass in corporate euphemism, a linguistic sleight-of-hand that thinly veils the harsh reality of automation's human cost. As a follower of AI policy and ethics, this scenario feels like a real-world test of Isaac Asimov's fictional dilemmas, where the pursuit of technological progress inevitably clashes with human welfare.Krafton's CFO, Bae Dong-geun, underscored this new direction by emphasizing the need for increased 'individual productivity at the company-wide level,' a phrase that translates ominously into doing more with fewer people, despite the company swimming in unprecedented revenue. The capital generated from these record profits is now being funneled into large-scale AI investments, specifically targeting the development of an 'AI-centered management system' and the automation of work through 'agentic AI.' This aggressive push towards autonomy, however, is fraught with peril. Recent analyses, including a sobering MIT report, suggest that a staggering 95 percent of generative AI pilot programs within companies are failing to meet their objectives, while Gartner predicts that over 40 percent of such agentic AI projects will be cancelled outright by the end of 2027.The chasm between corporate ambition and technological reality has never been wider. Krafton's strategy, which also involves a hiring freeze for all but AI and original IP roles, represents a high-stakes gamble, betting the stability of its human capital on a technology that is still largely unproven at this scale.The ethical implications are profound, raising critical questions about corporate responsibility in an age of automation: What is the duty of a profitable company to its workforce? Is 'voluntary resignation' truly voluntary when the alternative is an increasingly AI-dominated workplace where one's role may become obsolete? This is not merely a business story; it is a societal bellwether. The outcome of Krafton's bold, and some might say reckless, transformation will be studied for years to come, serving as either a cautionary tale of technological overreach or a blueprint for a ruthlessly efficient, and potentially soulless, future of work.

#featured

#Krafton

#AI transformation

#voluntary resignation

#job cuts

#record profits

#gaming industry

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