In 2025, AI became a lightning rod for gamers and developers. The year marked a pivotal moment in the video game industry as generative AI made its presence felt, sparking both excitement and controversy. While some of the biggest game studios embraced AI as a potential game-changer, developers, especially in the indie scene, pushed back against its encroachment, signaling their games were gen-AI free. Generative AI, having largely replaced NFTs as the buzzy trend, promised to democratize video game development by amalgamating images, text, audio, and video, thus shortening development times and shrinking budgets. This potential was too enticing for many studios to ignore. Ubisoft, for instance, showcased technology capable of generating short snippets of dialogue called "barks" and gen-AI-powered NPCs for players to converse with. EA partnered with Stability AI, and Microsoft employed AI to analyze and generate gameplay. Major companies like Nexon, Krafton, and Square Enix openly embraced gen AI. However, the reaction to this encroachment was mixed. Players generally disliked gen AI in games, and developers were sensitive to public distaste but unwilling to commit to not using it. Despite the backlash, game makers insisted on using the tech, citing the competitive edge and economic incentives. However, the current results of gen AI did not live up to expectations. The low-quality images found in Call of Duty and Pax Romana, and the unnatural dialogue of Ubisoft's gen-AI NPCs, highlighted the technology's limitations. For all the promises of gen AI, its current outputs were shoddy, leading some to question if it was the next flash in the pan, like NFTs. Despite the controversy, gen AI will remain a lightning rod in game development until the tech improves or the bubble pops.