
Krafton's ChatGPT Gamble Backfires in Subnautica Studio Dispute
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Delaware Court Rules Against Krafton in Subnautica Studio Dispute:
Krafton, the owner of Subnautica game studio Unknown Worlds, was ordered by a Delaware court to reinstate the studios leadership after attempting to use ChatGPT to avoid a significant bonus payment. The studio, known for the Subnautica games, was acquired by Krafton for $500 million in 2021, with promises of independence and an earnout worth up to $250 million if performance targets were met. As Subnautica 2 neared release, projections indicated those targets would be met, triggering the payout. Kraftons CEO, Changhan Kim, ignored legal warnings and used ChatGPT to find ways to handle the situation, ultimately leading to the ousting of the co-founders and CEO Ted Gill. The court ruled in favor of the studio leaders, extending the time frame for meeting the earnout goals. Krafton disagrees with the decision and is reviewing next steps, while focusing on polishing Subnautica 2 for early access.
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UK News Today | 2 Min News | The Daily News Now! — Krafton's ChatGPT Gamble Backfires in Subnautica Studio Dispute. Machine-transcribed; use the interactive transcript above to jump the player to any line.
On March 18th, a Delaware court has ruled that Krafton must reinstate the leadership of its game studio, Unknown World, after the company's CEO tried. Using Chad G.P.T. to dodge a huge bonus payment. The studio, known for the Subnautica Games, was bought by Krafton for $500 million back in 2021, with promises of. Independence and an earn out worth of the $250 million if performance targets were hit. As Subnautica 2 geared up for release last year, projections showed those targets would be met, triggering the payout. Krafton's CEO, Changhan Kim, saw it as a problem despite legal warnings that firing the leaders for cause would not cancel the earn out and could lead to lawsuits. Ignoring the advice, Kim turned to Chad G.P.T. for ideas on how to handle it. The AI suggested forming a task force to either renegotiate or take over the studio. And Krafton followed through with many of those steps, including ousting the co-founders
and CEO Ted Gill. In her ruling, Vice Chancellor Lori Will ordered full operational control back to Gill and extended the time frame for meeting the earn out goals, siding firmly with the studio leaders. Krafton says it disagrees with the decision and is reviewing next steps, but insists it's pushing hard to polish Subnautica 2 for early access, keeping fans in mind as the saga plays out.
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