Epic Games Chief Executive Officer Tim Sweeney has criticized Steam's AI policy in several recent statements. According to the industry veteran, Valve’s requirement to disclose AI use on Steam doesn't make a lot of sense and is becoming increasingly irrelevant.
Valve has required developers to disclose the use of AI-generated content in their Steam listings since January 2024. The mandate was added to the Steam Distribution Agreement, the company’s standard contract outlining terms for software distribution on its platform. The policy followed several months' worth of reports alleging that Valve had been banning some games with AI-generated content from Steam. In a prepared statement issued after the change, the company said the disclosure requirement would enable it to "release the vast majority of games" that rely on generative AI.
Game Devs Take A Stand Against Generative AI
In response to the discussions surrounding generative AI, some game developers make their stance against it abundantly clear.
Epic Games Boss Says Steam's AI Disclosure Policy 'Makes No Sense'
Epic Games CEO Tim Sweeney took aim at Valve's AI policy in several messages posted on X, formerly Twitter, in late November 2025. Responding to one tweet calling for Valve to drop the AI disclosure label, the executive said the mandate "makes no sense for game stores," where a growing number of titles now relies on generative artificial intelligence solutions in some shape or form. A July report from Totally Human Media supports Sweeney's observation, finding that one in five Steam games released in 2025 disclosed AI use. The same source estimated that only 7% of all titles on the platform currently carry the disclosure, concluding that AI adoption among game developers is rising sharply.
The 'Made with AI' Label Will Soon Be Implied for Nearly All Games, Epic CEO Predicts
Sweeney clarified that he is not opposed to AI labels in general, acknowledging their relevance in contexts where authorship or ownership rights are critical, such as art exhibits and content licensing platforms. However, with a growing number of game developers embracing AI, he argued that the label is losing much of its meaning for platforms like Steam and the Epic Games Store, where he expects it will soon need to be applied to nearly every listing.
Epic Boss Likens Steam's AI Label to Shampoo Brand Disclosure
Sweeney's November 27 remark elicited a polarizing response from social media users. One post challenging his belief by saying "customers deserve to know" about AI use prompted the executive to double down on his stance with a cheeky analogy. "We could have mandatory disclosures for what shampoo brand the developer uses," Sweeney said, positing that if AI disclosures are mandated, there's no reason to stop at just AI use. While some users pointed out that developers’ shampoo preferences are not as consequential to game development as AI use, Sweeney did not respond further.
Why stop at AI use? We could have mandatory disclosures for what shampoo brand the developer uses. Customers deserve to know lol.
Award-Winning Dev Pushes Back Against Sweeney's Belief in 'Slop Machines'
Among the most vocal parts of online communities, there is a growing belief that AI use is correlated to low-quality titles. This sentiment extends beyond consumers; Thomas Bithell, developer of the critically acclaimed puzzle platformer Thomas Was Alone, called Sweeney's AI comments "really said." Posting on BlueSky on November 27, the award-winning developer was direct in his criticism of Sweeney’s support for generative AI. "Imagine being so certain that you need slop machines to do your work, that you convince yourself that EVERYBODY must need them," Bithell wrote.
I just find this really sad. Imagine being so certain that you need slop machines to do your work, that you convince yourself that EVERYBODY must need them. — Mike Bithell (@mikebithell.bsky.social) 2025-11-27T09:06:05.917Z
Generative AI Isn't Going Away on Steam or Elsewhere
As highlighted by the recent controversy over ARC Raiders' use of AI, even some of today's most popular and critically acclaimed games are not immune to criticism for incorporating generative AI. However, if Sweeney's prediction proves accurate and the industry broadly adopts such technologies, AI use may become normalized among players and developers alike. In that case, Valve could once again revise its Steam policies, which currently mandate AI disclosure at a basic level, recognizing only two official labels: pre-generated and live-generated—referring to whether the AI content is bundled with the game or created in real time.
Steam’s pre-generated label applies not only to visuals and music but also to AI-generated code, which may be the most widespread form of AI use in game development today. According to the 2025 Stack Overflow survey, 84% of the platform's users already rely on AI tools or intend to adopt them soon, with professional developers generally expressing a more favorable view of such tools than beginners learning to code. While the survey does not provide an industry-specific breakdown—making it unclear if, e.g., web developers use AI more than game developers—its findings suggest that Steam’s AI-generated content label may already be outdated because Valve is applying it uniformly to code and art alike.
Source: Steam