Ubisoft reportedly testing generative AI in Far Cry 7

Ubisoft is pushing ahead with aggressive investments in generative AI, even as the gaming giant faces its worst financial year in history. According to a recent report, the company is using an early build of the unannounced Far Cry 7 as a testing ground for these new AI tools.

As first reported by The Gamer, Tom Henderson of Insider Gaming briefly posted on X that the generative AI stuff currently “looks like sh*t” before deleting the post. However, Henderson explained that Far Cry 7 is being used purely for research and development purposes, so fans shouldn’t necessarily expect AI generated content to make it into the game’s final release.

This news follows Ubisoft’s recent earnings report, which showed a record operating loss of €1.3 billion in the 2025-26 fiscal year. It’s been a tough ride for the publisher. Net bookings have dropped by over 17 percent down to €1.53 billion, seven game projects were outright canceled, six more were delayed, and roughly 1,200 employees lost their jobs over the past year.

A major €1.16 billion cash injection from a Tencent transaction helped keep the company's balance sheet somewhat stable, but Ubisoft warned investors that the next fiscal year will be a low point for free cash flow before any projected rebound.

Despite the financial bleeding, Ubisoft is heavily doubling down on artificial intelligence. The publisher said in its earnings report that it is increasing investments in generative AI to build dynamic NPCs and quality assurance bots.

One of the big ones is a project called “Teammates,” an R&D experiment built on Google Gemini that seeks to make NPCs into conversational companions that can remember player interactions and respond in real-time. Ubisoft's La Forge division is heading up the project, and the company has already shown off similar AI tech in partnership with Nvidia and Inworld AI at the Game Developers Conference.

For longtime observers of the company, this aggressive push into a controversial new tech trend might feel a bit familiar. Back in late 2021, Ubisoft chased the NFT craze by launching the Quartz platform in Ghost Recon Breakpoint, a move that was ultimately abandoned following intense backlash from players.

Now, they are facing similar skepticism from both gamers and the stock market. When Ubisoft first announced its accelerated investments in AI back in January, the news triggered a massive 34 percent collapse in its share price in a single day, dropping the company's market cap below €1 billion.

Whether their expensive bet on AI will actually pay off in future titles or become another abandoned experiment remains to be seen, but for now, the publisher is weathering a historic financial storm while banking heavily on the tech.