Engine
Company
Documents about Engine
How's PC Game Engine Usage Changing?
This analysis examines shifting trends in PC game engine adoption by leveraging file structure scanning across more than 33,000 Steam titles.
- Unity maintains a 50% market share of released PC games, holding its position as the industry's most widely used engine.
- Unreal Engine has grown its market share from 15% in 2020 to 20% in 2025, with its top 50 titles generating $1.8 billion compared to $930 million for Unity's top 50.
- Godot has emerged as a significant challenger, increasing its market share from 0.9% in 2017 to 7.1% by 2025.
GameBot's COTA Demo Showcases FPS Bots Powered by LLMs
The COTA technical demo, released in February 2026 by GameBot, serves as a proof-of-concept for an artificial intelligence architecture driven by large language models (LLMs) within a first-person shooter environment.
- GameBot released COTA, an LLM-driven AI architecture for FPS games that enables real-time team coordination and strategic decision-making with a response time of less than 100ms.
- The COTA architecture utilizes an 8 billion parameter model (16.5GB) that functions via a two-tiered system: a 'commander' layer for macro-level strategy and an 'operator' layer for individual tactical execution.
- Unlike previous projects that relied on professional player data, COTA uses a synthetic data pipeline for supervised fine-tuning, followed by GRPO-based reinforcement learning and human feedback alignment.
How come Fuse Games gets to make a Star Wars racing game?
Fuse Games, a UK-based independent studio founded three years ago by former leaders from EA’s Criterion Games, is currently developing Star Wars: Galactic Racer.
- Fuse Games, a 75-person independent studio founded by former Criterion Games leaders, is developing 'Star Wars: Galactic Racer' using Unreal Engine.
- The studio employs a distributed development model, partnering with other UK studios to scale capacity and avoid the industry's traditional cycle of project-based hiring and layoffs.
- The game aims to revitalize the racing genre by blending 4K 60fps visuals with 'racing adventure' elements that allow players to inhabit canonical Star Wars characters.
Weekly Gaming Reports Recap: February 16 - February 20 (2026)
The global gaming industry in early 2026 is defined by a period of profound structural instability and technological transition.
- Over 50% of gaming industry professionals report layoffs at their organizations as of February 2026, marking widespread structural instability.
- Development efforts are primarily concentrated on PC, with Unreal Engine remaining the dominant tool for large-scale projects.
- Developer interest is increasingly shifting toward portable hardware, specifically the Steam Deck and the anticipated Nintendo Switch 2.
The Gaming Industry Isn't in a Downturn: It's Losing Its Moat
The gaming industry is currently undergoing a fundamental structural transformation rather than a temporary cyclical downturn.
- The gaming industry's traditional 'moats' (capital, talent, technology) are collapsing, indicating a fundamental restructuring rather than a temporary downturn.
- Funding for game development has shifted dramatically: 35% of developers now self-fund, while traditional sources like publishers, VCs, and platform deals collectively account for less than half of funding.
- The 'people moat' is eroding as layoffs increase (19% in the past year, with 48% still unemployed), and the need for large teams diminishes due to technological advancements.
Your Next Customer Is Asking ChatGPT: Are You the Answer?
Generative Engine Optimization (GEO) has emerged as a critical marketing paradigm shift, necessitating a departure from traditional search engine optimization (SEO) strategies.
- AI-driven traffic generates 32% more revenue per visit than traditional search, with platforms like Microsoft Copilot, Perplexity, and Gemini delivering conversion rates 3 to 17 times higher.
- Generative Engine Optimization (GEO) requires a shift from keyword-based tactics to a problem-solving content structure, which can improve AI visibility by up to 40%.
- AI search engines frequently prioritize content that ranks poorly in traditional search, with nearly 90% of cited sources appearing on page 21 or beyond in conventional Google results.
Session:Using High-Quality Cinematics To Nail Your Pitch Without Breaking The Bank - Robert Craig.
The presentation outlines a methodology for creating high-quality, cinematic game pitches and trailers using Unreal Engine 5, emphasizing efficiency and cost-effectiveness.
- Unreal Engine 5 tools like Nanite and Lumen allow developers to bypass traditional, time-consuming workflows such as retopology, enabling high-quality cinematics to be produced with minimal budgets and small teams.
- The Metahuman framework, combined with digital casting via 3D scan libraries, allows for efficient creation of realistic characters by ingesting raw scans into the Metahuman rig for shading and animation.
- A physically based lighting and camera workflow—matching real-world lux values for specific times of day to engine directional lights and HDRI—creates consistent, cinematic results that are easily adjustable shot-to-shot.
FY2025 & 4Q25 Earnings Results
Krafton’s fiscal year 2025 performance reflects a strategic pivot toward aggressive portfolio diversification and technological expansion, underpinned by the enduring strength of the PUBG franchise.
- Krafton achieved KRW 3.3 trillion in annual revenue for FY2025, a 23% year-over-year increase driven by the PUBG 2.0 transition and the successful early access launches of inZOI and MIMESIS.
- Annual operating profit fell 11% to KRW 1.1 trillion, with a sharp fourth-quarter contraction to KRW 2.4 billion caused by heavy investment in a 26-title development pipeline and scaling costs.
- To offset aggressive spending, the company committed to a shareholder return policy exceeding KRW 1 trillion for the 2026–2028 period.
Engine Failure
The recent release of Google’s Project Genie, an AI-driven tool capable of generating interactive 3D environments, has triggered a significant market correction for major game industry players.
- The 2026 announcement of Google’s Project Genie triggered significant market volatility, causing share price declines of 24% for Unity, 17% for AppLovin, 14% for Roblox, and 8% for Take-Two Interactive.
- Investors are concerned that AI-driven 3D environment generation will commoditize content creation and disrupt established development workflows.
- AI-generated assets currently lack the performance, depth, and immersive quality required for high-end gaming, making them unsuitable for replacing professional development pipelines.
GDC State of the Industry Survey 2026
The 2026 Game Developers Conference (GDC) State of the Industry survey provides a comprehensive analysis of current trends, labor conditions, and technological adoption within the global gaming sector.
- Developer sentiment toward generative AI has turned increasingly negative, with 52% now viewing it as harmful to the industry, up from 30% a year ago and 18% two years ago.
- Despite growing skepticism, 36% of developers report that their companies currently use generative AI, with ChatGPT (74%) and Google Gemini (37%) being the most widely adopted tools.
- The industry has faced significant labor instability, with 28% of developers reporting job losses over the past two years and game designers experiencing the highest layoff rate (20%) in the last 12 months.
Is this make or break for GDC?
The global game development industry is currently navigating a period of significant instability, marked by widespread workforce reductions and shifting technological priorities.
- Over 25% of global game industry professionals have faced layoffs in the last two years, with that figure rising to 33% within the United States.
- Unreal Engine has surpassed Unity as the primary engine for developers, while the Steam Deck has become a higher priority for development focus than the Nintendo Switch 2.
- Despite rapid adoption for brainstorming and research, a majority of developers now view generative AI as a detrimental force within the industry.
Legacy Apps: Apple’s New Growth Engine
Apple’s recent launch of the Apple Creator Studio represents a strategic pivot toward revitalizing legacy software through a modern services-based model.
- Apple launched "Apple Creator Studio" on January 23, 2026, bundling long-standing apps like Final Cut Pro, Logic Pro, and Keynote into a $12.99/month subscription service across Mac, iPad, and iPhone.
- This strategy revitalizes older, overlooked apps by layering intelligence, content, and subscriptions on top of existing distribution rather than replacing or rebranding them.
- Apple's approach allows one-time purchases of apps like Final Cut and Logic Pro to continue on Mac, ensuring long-time users are not forced into subscriptions while making the subscription the natural path forward.