Generative AI remains one of the most controversial technologies in the gaming industry. Some developers see it as a useful tool that can speed up repetitive work and reduce development time, while others have raised concerns about jobs, copyright, training data, and the use of AI-generated assets in finished games. Despite that debate, its use appears to be growing rapidly in Japan.

Japan’s Computer Entertainment Supplier’s Association (CESA) previewed its latest CESA Video Game Industry Report at Tokyo Game Show 2026, revealing that 85.8% of surveyed Japanese game developers now use generative AI in their work. Even more interesting is how frequently they’re using it. According to the report, 63% use generative AI daily, while another 22.8% use it occasionally.

Game studios in the survey include Capcom, Sega, and more

The survey covered game developers and CESA member companies. The association’s membership includes major names in the Japanese gaming industry such as Capcom, Sega, Konami, and Level-5. The latest figure represents a significant jump compared to the 2025 report, when generative AI usage among surveyed developers and CESA member companies was estimated at around 51%.

Last year’s report provided more details about what developers were doing with the technology. Generating visual assets and images was the most common use, followed by creating stories and text and providing programming assistance. Around 32% of companies also reported using AI while developing their own game engines.

CESA hasn’t yet revealed the most common AI applications from the new 2026 survey. However, developers said they expect the technology to provide several benefits, with better productivity and operational efficiency being the most commonly mentioned. Shorter development cycles and lower development and operating costs were also highlighted.

At the same time, studios aren’t necessarily taking AI-generated material and putting it directly into their games. Human verification, correction, and supervision was the most commonly reported safeguard. Other measures include limiting which AI tools employees can use and avoiding direct use of generated output.

CESA executive director Tsutomu Masuda said the figures demonstrate how widely generative AI is being adopted across game development environments. However, he also acknowledged concerns surrounding potential infringement and intellectual property rights.

Those concerns will likely remain a major part of the discussion. Generative AI has plenty of supporters who view it as another development tool, but it also has strong opposition from developers and players concerned about how the technology is trained and where generated material comes from.

About the Author

Abdul Haddi

Abdul is a tech writer and Editor for PC Guide, specializing in all things tech, gaming, and hardware.