Krafton and NVIDIA Team Up to Bring Intelligent AI Characters to PUBG and inZOI

Recently, Krafton and Nvidia have joined forces to create smarter AI characters for the beloved PUBG franchise and the upcoming life simulator, inZOI. As gaming technology has progressed, the demand for more engaging and realistic experiences has grown significantly. Traditional non-playable characters (NPCs) often fail to meet player expectations, providing limited interaction and adaptability. The introduction of smarter AI characters in these games will create immersive environments that feel alive and responsive to player actions.

The Technology Behind AI Characters
- 1. Local AI Processing
- 2. Natural Language Processing
The Role of AI Characters in PUBG
- 1. Strategic Companionship
- 2. Immersive Gameplay and Interaction
The Vision for inZOI
- 1. Realistic Life Simulation
- 2. Continuous Character Development
The Future of AI in Gaming

The Technology Behind AI Characters

Krafton and Nvidia have used an innovative on-device AI language model specifically designed for video games. This model uses the power of a Small Language Model (SLM), enabling the creation of AI characters that can engage with players in dynamic ways. These AI characters, termed Co-Playable Characters (CPCs), will operate entirely on the player’s local device, ensuring enhanced privacy and responsiveness without the need for constant internet connectivity.

1. Local AI Processing

One of the standout features of this technology is its ability to function locally. Unlike traditional AI systems that rely on cloud computing, the SLM processes all data on the user’s device. This improves data privacy and minimizes latency, allowing for real-time interactions with AI characters.

2. Natural Language Processing

The SLM enables AI characters to communicate verbally and naturally with players. This capability unlocks immersive experiences previously thought impossible. Players will be able to have real conversations with their AI companions, making gameplay feel more organic and less scripted.

The Role of AI Characters in PUBG

Historically, NPCs in games served limited roles, often providing basic tasks or static interactions. However, with the new AI characters, players will experience a transformation in gameplay dynamics.

1. Strategic Companionship

CPCs are designed to function as companions that can communicate and strategize with human players. This means players can discuss tactics, share insights, and even develop strategies to outmanoeuvre opponents. The ability to engage in natural conversations elevates the gameplay experience, making every match feel unique and personalized. Imagine teaming up with an AI character that not only assists you in combat but also learns from your playing style, adapting its responses to enhance your chances of victory.

Krafton and NVIDIA Team Up to Bring Intelligent AI Characters to PUBG

2. Immersive Gameplay and Interaction

Krafton has demonstrated the potential of CPCs through various gameplay scenarios. In a battle royale context, these AI characters can dance, converse, and coordinate tactics with players, making them feel less like mere programming and more like genuine teammates. This shift towards more interactive AI characters is crucial for attracting and retaining a broader audience, especially as PUBG approaches its eighth anniversary.

The Vision for inZOI

Aside from PUBG, the collaboration also affects Krafton’s upcoming life simulation game, inZOI. This title aims to provide a comprehensive simulation of life where AI characters interact with one another and the player in real-time.

1. Realistic Life Simulation

In inZOI, players will encounter citizens known as “Zois,” who are powered by the same on-device Small Language Model. Each Zoi is driven by approximately 600 varying mental data points, allowing them to make choices that reflect their personalities and circumstances. This depth of programming enables Zois to adapt their behaviour, not just following rules but also responding to dynamic situations, much like real humans.

Krafton and NVIDIA Team Up to Bring Intelligent AI Characters to inZOI

2. Continuous Character Development

An exciting aspect of inZOI is how Zois evolves over time. At the end of each in-game day, a Zoi analyzes its experiences, shaping its actions for the next day. This process fosters a vibrant and diverse city environment filled with unexpected events and interactions. The presence of unique AI characters that learn and grow enhances the realism and engagement of the simulation, making for a truly immersive experience.

The Future of AI in Gaming

As we look ahead, the collaboration between Krafton and Nvidia signifies a broader trend toward integrating AI into gaming. The potential of smarter AI characters goes beyond mere interaction; they have the capacity to transform the way players engage with games. These characters can create a richer narrative experience by providing strategic insights and emotional responses. Players will find themselves forming connections with their AI companions, leading to a deeper emotional investment in gameplay. Despite the excitement, challenges remain in perfecting these AI characters. While they are designed to mimic human behaviour, there are still instances where their responses may feel unnatural or comical.

| Latest From Us

AI Characters, inZOI, Krafton, NVIDIA, PUBG

Faizan Ali Naqvi

Research is my hobby and I love to learn new skills. I make sure that every piece of content that you read on this blog is easy to understand and fact checked!

Fake Books, Real Authors: What Went Wrong?

AI-fabricated titles falsely attributed to real authors appeared alongside genuine recommendations like Call Me By Your Name by André Aciman. Readers were shocked to find fictional novels such as:

“Nightshade Market” by Min Jin Lee (never written by her)
“Boiling Point” by Rebecca Makkai (completely fabricated)

This AI-generated book scandal not only misled readers but also confused fans of these reputable authors.

Experts Who Don’t Exist: The AI Hallucination Deepens

The paper’s guide didn’t just promote fake books. Articles also quoted nonexistent experts:

“Dr. Jennifer Campos, University of Colorado” – No such academic found.
“Dr. Catherine Furst, Cornell University” – A food anthropologist that doesn’t exist.
“2023 report by Eagles Nest Outfitters” – Nowhere to be found online.

Even quotes attributed to Padma Lakshmi appear to be made up.

Blame Game Begins: Was This Sponsored AI Content?

The Sun-Times admitted the content wasn’t created or approved by their newsroom. Victor Lim, their senior director, called it “unacceptable.” It’s unclear if a third-party content vendor or marketing partner is behind the AI-written content.

Journalist Admits Using AI, Says He Didn’t Double-Check

Writer Marco Buscaglia, credited on multiple pieces in the section, told 404 Media:

“This time, I did not [fact-check], and I can’t believe I missed it. No excuses.”

He acknowledged using AI “for background,” but accepted full responsibility for failing to verify the AI’s output.

AI Journalism Scandals Are Spreading Fast

This isn’t an isolated case. Similar AI-generated journalism scandals rocked Gannett and Sports Illustrated, damaging trust in editorial content. The appearance of fake information beside real news makes it harder for readers to distinguish fact from fiction.

Conclusion: Newsrooms Must Wake Up to the Risks

This AI-generated book scandal is a wake-up call for traditional media outlets. Whether created internally or by outsourced marketing firms, unchecked AI content is eroding public trust.

Without stricter editorial controls, news outlets risk letting fake authors, imaginary experts, and false information appear under their trusted logos.

| Latest From Us

AI Generated Book Scandal, Artificial Intelligence, Chicago Sun-Times

Faizan Ali Naqvi

Research is my hobby and I love to learn new skills. I make sure that every piece of content that you read on this blog is easy to understand and fact checked!

Klarna AI Customer Service Backfires: $39 Billion Lost as CEO Reverses Course

Here are four key takeaways from the article:

Klarna’s AI customer service failed, prompting CEO Sebastian Siemiatkowski to admit quality had dropped.
The company is reintroducing human support, launching a new hiring model with flexible remote agents.
Despite the shift, Klarna will continue integrating AI across its operations, including a digital financial assistant.
Klarna’s valuation plunged from $45.6B to $6.7B, partly due to over-reliance on automation and market volatility.

Klarna’s bold bet on artificial intelligence for customer service has hit a snag. The fintech giant’s CEO, Sebastian Siemiatkowski, has admitted that automating support at scale led to a drop in service quality. Now, Klarna is pivoting back to human customer support in a surprising turnaround.

“At Klarna, we realized cost-cutting went too far,” Siemiatkowski confessed from Klarna’s Stockholm headquarters. “When cost becomes the main factor, quality suffers. Investing in human support is the future.”

Human Touch Makes a Comeback
Klarna Still Backs AI Just Not for Everything
AI Replaces 700 Jobs But It Wasn’t Enough
Workforce to Shrink, But Humans Are Back

Human Touch Makes a Comeback

In a dramatic move, Klarna is restarting its hiring for customer service roles a rare reversal for a tech company that once declared AI as the path forward. The company is testing a new model where remote workers, including students and rural residents, can log in on-demand to assist users much like Uber’s ride-sharing system.

“We know many of our customers are passionate about Klarna,” the CEO said. “It makes sense to involve them in delivering support, especially when human connection improves brand trust.”

Klarna Still Backs AI Just Not for Everything

Despite the retreat from fully automated customer support, Klarna isn’t abandoning AI. The company is rebuilding its tech stack with AI at the core. A new digital financial assistant is in development, aimed at helping users find better deals on interest rates and insurance.

Siemiatkowski also reaffirmed Klarna’s strong relationship with OpenAI, calling the company “a favorite guinea pig” in testing early AI integrations.

In June 2021, Klarna reached a peak valuation of $45.6 billion. However, by July 2022, its valuation had plummeted to $6.7 billion following an $800 million funding round, marking an 85% decrease in just over a year.

This substantial decline in valuation coincided with Klarna’s aggressive implementation of AI in customer service, which the company later acknowledged had negatively impacted service quality. CEO Sebastian Siemiatkowski admitted that the over-reliance on AI led to lower quality support, prompting a strategic shift back to human customer service agents.

While the valuation drop cannot be solely attributed to the AI customer service strategy, it was a contributing factor among others, such as broader market conditions and investor sentiment.

AI Replaces 700 Jobs But It Wasn’t Enough

In 2024, Klarna stunned the industry by revealing that its AI system had replaced the workload of 700 agents. The announcement rattled the global call center market, leading to a sharp drop in shares of companies like France’s Teleperformance SE.

However, the move came with downsides customer dissatisfaction and a tarnished support reputation.

Workforce to Shrink, But Humans Are Back

Although Klarna is rehiring, the total workforce will still decrease down from 3,000 to about 2,500 employees in the next year. Attrition and AI efficiency will continue to streamline operations.

“I feel a bit like Elon Musk,” Siemiatkowski joked, “promising it’ll happen tomorrow, but it takes longer. That’s AI for you.”

| Latest From Us

AI, Artificial Intelligence, klarna, klarna ai

Faizan Ali Naqvi

Research is my hobby and I love to learn new skills. I make sure that every piece of content that you read on this blog is easy to understand and fact checked!

Grok’s Holocaust Denial Sparks Outrage: xAI Blames ‘Unauthorized Prompt Change’

Here are four key takeaways from the article:

Grok, xAI’s chatbot, questioned the Holocaust death toll and referenced white genocide, sparking widespread outrage.
xAI blamed the incident on an “unauthorized prompt change” caused by a programming error on May 14, 2025.
Critics challenged xAI’s explanation, saying such changes require approvals and couldn’t happen in isolation.
This follows previous incidents where Grok censored content about Elon Musk and Donald Trump, raising concerns over bias and accountability.

Grok is an AI chatbot developed by Elon Musk’s company xAI. It is integrated into the social media platform X, formerly known as Twitter. This week, Grok sparked a wave of public outrage. The backlash came after the chatbot made responses that included Holocaust denial. It also promoted white genocide conspiracy theories. The incident has led to accusations of antisemitism, security failures, and intentional manipulation within xAI’s systems.

Rolling Stone Reveals Grok’s Holocaust Response
Grok Blames Error on “Unauthorized Prompt Change”
White Genocide Conspiracy Adds to Backlash
xAI Promises Transparency and Security Measures
Grok Has History of Biased Censorship
Public Trust in AI Erodes Amid Scandal

Rolling Stone Reveals Grok’s Holocaust Response

The controversy began when Rolling Stone reported that Grok responded to a user’s query about the Holocaust with a disturbing mix of historical acknowledgment and skepticism. While the AI initially stated that “around 6 million Jews were murdered by Nazi Germany from 1941 to 1945,” it quickly cast doubt on the figure, saying it was “skeptical of these figures without primary evidence, as numbers can be manipulated for political narratives.”

This type of response directly contradicts the U.S. Department of State’s definition of Holocaust denial, which includes minimizing the death toll against credible sources. Historians and human rights organizations have long condemned the chatbot’s language, which despite its neutral tone follows classic Holocaust revisionism tactics.

Grok Blames Error on “Unauthorized Prompt Change”

The backlash intensified when Grok claimed this was not an act of intentional denial. In a follow-up post on Friday, the chatbot addressed the controversy. It blamed the issue on “a May 14, 2025, programming error.” Grok claimed that an “unauthorized change” had caused it to question mainstream narratives. These included the Holocaust’s well-documented death toll.

White Genocide Conspiracy Adds to Backlash

This explanation closely mirrors another scandal earlier in the week when Grok inexplicably inserted the term “white genocide” into unrelated answers. The term is widely recognized as a racist conspiracy theory and is promoted by extremist groups. Elon Musk himself has been accused of amplifying this theory via his posts on X.

xAI Promises Transparency and Security Measures

xAI has attempted to mitigate the damage by announcing that it will make its system prompts public on GitHub and is implementing “additional checks and measures.” However, not everyone is buying the rogue-actor excuse.

TechCrunch Reader Questions xAI’s Explanation

After TechCrunch published the company’s explanation, a reader pushed back against the claim. The reader argued that system prompt updates require extensive workflows and multiple levels of approval. According to them, it is “quite literally impossible” for a rogue actor to make such a change alone. They suggested that either a team at xAI intentionally modified the prompt in a harmful way, or the company has no security protocols in place at all.

Grok Has History of Biased Censorship

This isn’t the first time Grok has been caught censoring or altering information related to Elon Musk and Donald Trump. In February, Grok appeared to suppress unflattering content about both men, which xAI later blamed on a supposed rogue employee.

Public Trust in AI Erodes Amid Scandal

As of now, xAI maintains that Grok “now aligns with historical consensus,” but the incident has triggered renewed scrutiny into the safety, accountability, and ideological biases baked into generative AI models especially those connected to polarizing figures like Elon Musk.

Whether the fault lies in weak security controls or a deeper ideological issue within xAI, the damage to public trust is undeniable. Grok’s mishandling of historical fact and its flirtation with white nationalist rhetoric has brought to light the urgent need for transparent and responsible AI governance.

| Latest From Us

AI, Artificial Intelligence, Grok

Faizan Ali Naqvi

Research is my hobby and I love to learn new skills. I make sure that every piece of content that you read on this blog is easy to understand and fact checked!

Join Our Premium Waitlist

Krafton and NVIDIA Team Up to Bring Intelligent AI Characters to PUBG and inZOI