Web3 at GDC 2023: Generative AI, NFT Interoperability and Fun-to-Play Games
GDC 2023 is indeed the biggest and most exciting event for game developers. Industry leaders and developers showcased their latest innovations and ideas. The conference featured a variety of themes and trends, with Generative AI being the centerpiece. The emergence of fun-to-play Web3 games and NFT interoperability were also some of the most discussed topics. Here’s our take on these.
Generative AI at GDC 2023
GDC 2023 has come to a close, leaving behind a trail of awe-inspiring advancements in AI showcased at the event. This year, leading companies in the gaming industry like Unity, Roblox, and others unveiled cutting-edge AI technologies that are set to revolutionize the gaming industry.
Demos included machine learning algorithms that create more immersive game environments and AI-powered NPCs that interact with players in human-like ways.
Unity teased Unity AI, and the sneak peek hints at AI generating 3D content just by using textual instructions from designers. Can be game-changing if done right, and curious folks can sign up for the beta program already.
Ubisoft unveiled a set of generative AI tools, and Ghostwriter stole the show. Ghostwriter supports the writing of background dialogue lines and barks trees of NPCs. The AI tool can generate lines based on the motivation of NPCs (funny, taunting, etc.) and double acts when players interact. Ghostwriter is less-worrisome to the narrative teams as it functions with the support of writers’ input, and they get to accept, edit or ditch it.
Roblox has launched two generative AI tools: Material Generator and Code Assist. The AI-based material generation tool lets the players generate realistic textures to apply to the objects in-game. Code Assist generates code snippets. With these tools, Roblox will be making every player a creator.
AI in Web3 Gaming
While it seemed like AI foreshadowed the Blockchain and Web3 at GDC, the latter can benefit more from AI than anything else. Web3 games such as Delysium and AI Arena have already been using generative AI to develop in-game content and build immersive experiences.
AI in Web3 gaming will have similar use cases as in Web2 gaming such as visual environments, narrative barks and even characters which can be minted as NFTs. On the other hand, early Web3 games had less impressive graphics and gameplay and catered to speculators. However, the trend is changing towards building fun-to-play and engaging games in Web3.
Furthermore, Web3 developers and community are more often into experimentation than the big traditional gaming studios, where they have to spend lots of time redesigning their already existing systems. AI would speed up the development and design process of Web3 games as the first draft is handled by the machine. AI may help Web3 games to catch up with Web2 games.
Generative AI at GDC confirmed that AI is here to stay. Though AI can be daunting, the initial reaction is similar to the ones when the internet was new. The first couple of paragraphs of this theme is generated by AI and edited by the team. The key takeaway here is to see AI as a supporter rather than a dominator.
Interoperability — The Holy Grail
It was a very common sight during GDC — a blockchain gaming “believer” trying to convince a sceptic that blockchain can help enhance the gaming experience. While many conversations did end in “let’s agree to disagree”, there were definitely a few converts. And interoperability was one of the biggest reasons for the conversion.
Unlocking interoperability has long been touted as one of the biggest benefits of blockchain in gaming. The idea that you can take a digital collectible from one game (in the form of an NFT) to another, where it can be expressed in a totally different way, is a fascinating one. You may have earned a token in a MOBA like Starfall Arena which grants you access to a special weapon. This same weapon can then be taken to a different game like Meta Apes where it grants you access to special powers. Fascinating, right? It unlocks higher utility for the collectibles, breaks down silos among studios/publishers and also offers unique economic benefits to developers. But there hasn’t been a clear, sturdy implementation of this idea yet. Why? Because it’s not that simple.
There is an obvious concern about IP rights — but that’s a more solvable problem through financial incentives. The bigger problem is developers adapting collectibles from different games into their own. One thing was clear in GDC — there are many, many studios trying to become the next successful web3 game. And these studios are focusing all their resources on enhancing the game & driving UA. In such a scenario, who can spare dev capacity to ensure true interoperability?
Across many conversations in GDC, it seems like the industry is aligning towards a few levels of interoperability. We tend to think of it as the following 3 levels:
- If you own X, you can access Y
- If you own X, you can flaunt it in Y
- If you own X, you can use it in Y
If You Own X, You Can Access Y
This is the base level of interoperability. And something which exists even today. Owning an NFT is like an “on-chain confirmation” of you being a specific persona — maybe a MOBA player, a high Average revenue per paying user (ARPPU) player or both. And new/other games can use this confirmation to acquire you or drive a higher level of engagement with you. This especially makes sense in a studio/publisher ecosystem. Imagine a studio releasing multiple games — and NFT holders from the first game are given special access to higher levels of their new game. This drives engagement with the right audience — lowering customer acquisition cost (CAC). And this is quite easy to implement without any detailed tech — a win-win for everyone.
If You Own X, You Can Flaunt It in Y
This level increases the utility of your NFT. Imagine taking a Starfall hero and using that as an avatar in Sandbox. The functionalities of this avatar could be limited — but it immediately signals to the community that you are a Starfall gamer. And maybe this helps out Starfall gamers to reach out to you and create a micro-community within Sandbox? It’s all about expression folks — and interoperability allows you to express yourself in communities beyond the NFT game itself. The tech behind this is more intensive than the first level. There are some players who have done it (Sandbox did this with Bored Apes NFTs) — but it continues to require significant effort on the part of the studio.
If You Own X, You Can Use It in Y
This is quite obvious. Taking a Starfall Arena hero and using that to play in Meta Apes would be awesome — but it will be extremely dev-intensive too. Maybe generative AI can help? Imagine a tool that can create a skin based on your NFT — and then apply the skin to a specific character in your game. Sounds too good to be true — but more wishful things have become reality.
These levels — and the resulting technology to help studios achieve these levels — are a sign that interoperability is not far off. Maybe by the next GDC, interoperability would become a standard for most web3 games. Anyone willing to make a bet?
Finally, Fun-to-Play Web3 Games
Though AI was the centre of attraction, Web3 games certainly didn’t go unnoticed in GDC 2023. The conference showcased several exciting Web3 games, and the common trait amongst them all is engaging gameplay and high-quality graphics.
It’s true that Web3 games before 2020 were mostly click-to-play and play-to-earn without any story or gameplay. If we are being honest, early Web3 games are simply DeFi products wearing a mask of “Web3 Game”.
Web3 games then were also aimed at speculators, who were primarily looking to earn. There is a gradual shift in this trend, and Web3 game developers are now building games for gamers putting the Web3 features optional or in the backend, and GDC 2023 gave a glimpse of such projects.
Let’s begin with Starfall Arena, a Web3 MOBA. Our team tried the open beta, and the graphics and gameplay are no less than that of a Web2 MOBA.
Starfall Arena is building an optional metagame on the side, incorporating NFTs and rewards for skilled players. It’s a clever way to serve both casual gamers and players primarily looking to earn at the same time. Curious folks can join the beta by downloading the game on Android from the Play Store.
Next, we came across Rogue Nation. Moonlit Games is developing this revolutionary take on rogue-lite. Customisation is going to be at the forefront of the game, and the game aims to transform players into creators. Web3 tech helps in trading these creations and building an economy within the game. Rogue Nation is a work in progress, but we got a sneak peek, and it looks promising.
RPGs have some of the most engaging gameplay, and Legendary Play is bringing a one-of-a-kind to Web3 with Esports Heroes. The game lets players turn into Esports managers and make their dream of becoming a pro come true. Esports Heroes is set for launch in early 2024, and we are eagerly waiting to give it a try.
Web3 games are coming to all genres, and card games are no exception. The developers behind Legends of Elysium are building a AAA-quality card game with a grand backstory. The game is Esports and guild ready, and free-to-play. Legends of Elysium is priming up for the closed beta in Q2 this year.
What Does This Imply?
All the demos of Web3 games we came across and talked to have focused on selling the gameplay and the fun part rather than tokens and NFTs.
Another common thread is that the people developing most of these new-gen Web3 games had experience in Web2 game development and exploring this new space. And they surely know that gaming is for fun first, and the rest comes next.
This trend of Web3 games putting gaming and fun aspects first and Web3 features second will positively impact the whole industry and helps in building sustainable games with strong communities. With generative AI making waves in game development, Web3 games leveraging this tech may put them on par with Web2 games and bring masses.
The Web3 gaming industry has been evolving and will continue to do so. We are seeing the early results now, and GDC 2023 witnessed some. But the real challenge is delivering these promises and striking a balance between engaging gameplay and a robust economy.
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