# Morgan Stanley: Advanced artificial intelligence tools could help cut down video game developing costs by nearly half.

*genai · news · 2026-04-22 · Reuters*

## Key points

- Morgan Stanley estimates AI could cut video game development costs by nearly 50 percent annually.
- AI adoption may unlock approximately $22 billion in extra annual profits for global game makers.
- Benefits from AI in gaming will favor companies that control distribution, proprietary data, and live operations.
- Game engines like Unity and Unreal face a binary outcome: adapt to AI or risk disruption.
- AI could boost game revenues by enabling longer player engagement and recurring in-game purchases.

**Companies:** Unity, Unreal Engine
**Countries:** United States, India

[Read the full story on Reuters](https://www.reuters.com/business/gaming-industry-could-unlock-22-billion-profits-ai-driven-cost-cuts-morgan-2026-04-22/)

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