Take-Two lays off its AI team head and staff despite CEO's support for generative AI

Take-Two Interactive laid off Luke Dicken, head of its AI division, along with other employees-despite CEO Strauss Zelnick's recent claims the company is "actively embracing generative AI."

Categorized in: AI News IT and Development
Published on: Apr 03, 2026
Take-Two lays off its AI team head and staff despite CEO's support for generative AI

Take-Two Lays Off AI Team Head Amid Broader Reorganization

Take-Two Interactive has laid off Luke Dicken, the head of its AI division, along with an undisclosed number of other employees working on AI technology for game development. Dicken, who joined the company in early 2025 after a decade at Zynga, announced the news on LinkedIn on Thursday.

The layoffs contradict recent statements from CEO Strauss Zelnick, who said the company is "actively embracing generative AI." Take-Two declined to comment on the reorganization.

What the AI Team Was Building

Dicken said his team had been developing technology to support game development workflows for seven years. The AI division was largely built from Zynga's existing applied AI department after Take-Two acquired the mobile gaming company in 2022 for $12.7 billion.

In a LinkedIn post, Dicken described the team's work as focused on matching "innovation and novel problem solving approaches with strong product design" to create systems that would "empower people throughout the development workflow."

Company's AI Strategy Remains Unclear

Zelnick has consistently downplayed the idea that generative AI could replace large development teams or make creating games like Grand Theft Auto significantly easier. Last month, he dismissed comparisons between Google's Genie and traditional game engines, saying they operate in different categories.

Yet Zelnick has also confirmed Take-Two is exploring how to use generative AI across the company. "We have hundreds of pilots and implementations across our company, including with our studios," he said during a recent investor call. "We are seeing opportunities to drive efficiencies, reduce costs, and free up our creators to do the more interesting tasks of making superb entertainment."

Industry Pushback on AI in Games

The gaming industry's embrace of AI has faced resistance from players. Nvidia took a stock hit in March when it revealed that its upcoming DLSS 5 graphics technology would use AI to render non-player characters with less detail. Arc Raiders, which sold millions of copies, recently replaced its AI-generated voice acting with human performers after player backlash.

For development professionals interested in how AI fits into modern game pipelines, understanding both the technical opportunities and industry reception is essential. Learn more about generative AI and LLM applications or explore AI for IT & Development to stay current with these shifts.


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