Kinda Funny Games Daily 12.17.25: “Baldur's Gate 3 Studio Responds to AI Backlash”

Date: December 19, 2025
Hosts: Tim Gettys, Andy Cortez

Episode Overview

This episode, hosted by Tim Gettys and Andy Cortez, dives into the trending controversy over Larian Studios’ use of AI, studio leadership changes at Sucker Punch, an alarming slump in hardware sales, and more. The cast delivers opinions, analysis, and anecdotes in their signature mix of humor, candor, and deep gaming industry insight.

Key Discussion Points

1. Larian Studios Responds to AI Backlash

[12:17–25:50]

• Background:
  Larian CEO Sven Winkle acknowledged (via Bloomberg) the studio uses generative AI at the early stages of game development—for brainstorming, presentations, placeholder text, and reference images—but insists there is no AI-generated art in shipped products and no jobs are being replaced.

• Backlash:
  The announcement triggered critical responses from the gaming community, players, and former devs over ethical and labor concerns regarding AI’s creeping role in creative industries.

• Sven Winkle’s Statement:

  “Holy guys, we’re not pushing hard for or replacing concept artists with AI. … The art they create is original and I'm very proud of what they do.”
  (Sven Winkle, cited at [12:45])

• Larian’s Position:

  • Claims use of AI is comparable to using Google or art books for inspiration at the concept stage.
  • 72 artists on the team; hiring more, not less.
  • No plans to release AI-influenced assets or reduce staff due to AI.

• Panel Reactions:

  • Andy Cortez: Skeptical that internal teams feel safe voicing dissent about AI adoption, noting job insecurity in the games industry.

    “How true is it when you are in a position of power…do my artists and people underneath me feel confident enough to speak out if they’re not cool or comfortable with something?” [14:17]

  • Both see slippery slopes and acknowledge an inevitability to some form of AI, but argue its use should be strictly limited, transparent, and, ideally, internally sourced from company-owned assets to avoid unlicensed scraping (“stealing”).
  • Tim Gettys: Points out that AI is now inextricably woven into modern workflows (Photoshop, editing, smart devices) and total abstinence from AI is likely unrealistic or even impossible.
  • Discussion highlights ethical distinctions between using AI for internal ref only (from owned assets) vs. externally scraping others’ work, and skepticism regarding pure management transparency.

    "Once you let the devil stick his little foot into that little doorway…you start to get tempted by the quick ease of use and replacing in case anything goes wrong at the studio."
    (Andy Cortez, [16:45])

  • Both express fatigue with the never-ending conversation around AI and concern about its impact on creative labor and culture.

2. Sucker Punch Studio Head Brian Fleming Exits After 28 Years

[26:36–31:28]

• Background:
  Sucker Punch co-founder Brian Fleming leaves the studio, leadership passing to Jason Connell & Adrian Bentley. Announced as a standard, planned succession—no drama implied.
• Industry Perspective:
  • Both hosts compare it to a sports star retiring at their peak; attribute Fleming’s exit to a desire for a new life chapter and confidence in the new leadership.

    “28 years is a long time…Sometimes you just want something new. …I achieved what I wanted to. I’m ready to move on.”
    (Andy Cortez, [28:22])

• Legacy:
  Sucker Punch praised for consistent output and growth (notably Ghost of Yote), held up alongside Insomniac and Guerrilla as core “pillar” PlayStation studios.
• Good Vibes:
  No scandal, just admiration and optimism for Sucker Punch’s future.

3. US Hardware Sales Hit Worst November in 30 Years

[38:11–45:24]

• Stats:
  • November 2025 hardware sales fell 27% year-over-year, the lowest since November 2005.
  • 1.6 million units sold, lowest since November 1995.
  • Prices for consoles at all-time highs (due to tariffs, costs).
  • PS5 tops November sales, Switch 2 second, Xbox third.
  • Call of Duty Black Ops 7 is #1 in software sales, but franchise is declining.
• Analysis:
  • Andy: Surprised Switch 2 didn’t dominate; attributes drop to price hikes and a tough economy.
  • Tim: Notes cyclical hardware lulls, economic and manufacturing shifts (RAM/GPU costs spiking due to enterprise/AI demand).

    “The PC gaming side of things…is dire…All of the major companies…shifting out of the gaming side…to the AI enterprise side…what that has done to the prices…It’s like triple the cost.”
    (Tim Gettys, [42:36])

  • Discussion about how these trends could soon impact console pricing/manufacturing.

4. Upcoming & Indie Game Highlights

[45:30–49:19]

• Mariachi Legends (Q2 2026, PC, Switch 2, Xbox, PlayStation):
  A Metroidvania inspired by Symphony of the Night, set in Mexico with pixel art and folklore influences. Both hosts are hyped by the visuals and "fluid, top-tier" animation.

5. Game Preservation: Lost Resident Evil GBC Port Found

[49:22–55:54]

• News:
  A nearly complete version (98%) of the canceled Game Boy Color port of the original Resident Evil was found and made playable for the first time.
• Nostalgia:
  • The hosts reminisce about GBC’s strange era of 3D-to-2D game ports.
  • They marvel at the technical achievement (turning a two-CD PS1 game into a 2MB cart).
  • Shoutout to “Games That Weren’t” for preserving lost builds.

    “It’s so crazy to me that lost media is capable of being dug up from six feet under and brought back to life.”
    (Andy Cortez, [53:10])

6. Quick News Bites (“WE News Town”)

[55:54–58:07]

• Highlights:
  • Dispatch is coming to Switch 1 & 2 (Jan 29, 2026)
  • Turn 10 ends Forza Motorsport content development after layoffs
  • Metal Hellsinger studio “not dead,” working on new project
  • Unrecord developer receives Tencent investment
  • Supervive (live service) ending in Feb; Ratatan getting major update
  • Soul Calibur 3 out now on PS4/PS5, Yakuza Kiwami 3 & Dark Ties Direct airing soon

7. Listener Questions & Super Chat

[59:19–end]

• Advice for budget and premium PC controllers, latest Marvel/Sony movie trailer leaks, and more.
• Noted Correction for Next Episode:
  Reports of employee accusations (racism and harassment) at Larian; the hosts will verify and discuss on a future show.

Notable Quotes & Memorable Moments

• On AI and Creative Jobs:

  “…when you let the devil stick his little foot into that little doorway, then eventually the full thing is going to come in and then you start to get the real repercussions.”
  (Andy Cortez, [16:45])

• On Sucker Punch’s Legacy:

  “Them along with Gorilla…really proved themselves…to be able to be like, wow, we are up there with the biggest dogs—the Naughty Dogs, the Sony Santa Monicas. Right? …Very cool to see.”
  (Tim Gettys, [29:58])

• On Hardware Struggles:

  “I love it. We only had like four years of comfortable spending…Because when NFTs and crypto mining…was just driving up GPU costs…And now RAM is the one being hit because of AI.”
  (Andy Cortez, [43:32])

• On Lost Game Preservation:

  “It’s so crazy to me that lost media is capable of being dug up from six feet under and being brought back to life. It’s so cool.”
  (Andy Cortez, [53:10])

Timestamps for Important Segments

• Larian AI Backlash Discussion: [12:17–25:50]
• Sucker Punch Studio Head Departure: [26:36–31:28]
• US Hardware Sales Slump: [38:11–45:24]
• Mariachi Legends Trailer Reaction: [45:30–49:19]
• Resident Evil GBC Lost Port: [49:22–55:54]
• Quick News Rapid-Fire: [55:54–58:07]
• Listener Q&A: [59:19–end]

Final Thoughts

This episode is a prime example of Kinda Funny’s balance: serious industry discourse with levity and approachable tangents. The AI segment is particularly timely, reflecting the anxieties, confusion, and debate regarding emerging technologies and creative labor. The show then pivots with deep respect for longtime developers, concern for industry economics, and sincere excitement for both big and indie games—a can’t-miss listen for any enthusiast who wants to stay informed, amused, and aware.

End of summary.