🎙️ AI x Gaming: How Campfire Used AI to 5X Engagement in Their Game
Siamak Freydoonnejad, CEO of Campfire, discusses building AI native games and how AI NPCs dramatically increases game engagement
Hey Gamemakers,
When Campfire added an AI character to its social gaming platform to solve the "empty lobby" problem, something unexpected happened: players spent five times more time talking to the AI than playing their actual game. This accidental discovery led Campfire to pivot into building AI-native games and the tools to enable them.
In today’s discussion with Campfire's founder and CEO, Siamak Freydoonnejad, we explore how AI transforms gaming, from enabling entirely new types of games to revolutionizing development workflows.
Whether you're interested in AI's impact on game development or curious about what truly AI-native games might look like, this conversation offers practical insights from someone building at the intersection of AI and gaming.
Check it out!
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Speakers:
Siamak Freydoonnejad. CEO at Campfire.
Joseph Kim. CEO at Lila Games.
In today’s discussion with Siamak, we got an inside look at how AI reshapes game development and the opportunities it presents for studios of all sizes.
Here are the key insights that emerged:
The Birth of an AI-Native Game Company
Campfire's journey into AI gaming started with an unexpected discovery. During COVID, they added an AI concierge to their social platform and found that users spent 5x more time talking to the AI character than playing the actual games. This insight led them to pivot toward building AI-native experiences and the tools to enable them.
Three Major Ways AI is Transforming Gaming
Asset Generation & Workflows
Major studios like EA are already using AI to scale content creation
Example: EA's college football game achieved NFL-level player roster detail through AI workflows
Netflix has appointed a VP of Gen AI content creation, signaling serious investment in this space
AI Integration
Game engines and creative tools are getting AI copilots
Focus on automating repetitive tasks in Unity, Unreal, and other development tools
Streamlining workflows for tasks like creating prefab variants or setting up scenes
AI-Native Games
New game genres that weren't possible before AI
Examples include "Suck Up" (AI-driven vampire conversation game) and "Yandere AI Girlfriend"
Mobile platforms likely to see the first breakout AI-native success
Key Challenges in AI Gaming
Technical Infrastructure
On-device AI still has significant limitations for real-time interactions
Cloud-based solutions needed for complex dialogue and image generation
Latency and cost optimization remain crucial challenges
Content Quality Control
Need for robust monitoring and optimization systems
Importance of maintaining consistent character personalities
Challenge of scaling AI interactions while maintaining quality
Cost Management
Token-based pricing models require careful optimization
Need to balance quality with computational costs
Importance of having fallback options for different price points
Insights for Game Developers
Starting with AI Integration
Begin with small, week-long hackathons or game jams
Test concepts quickly before committing to larger projects
Focus on finding core loops that work well with AI
Choosing the Right Approach
For existing games: Start with simple AI features like personalizing dialogue
For new projects: Consider whether the game concept truly requires AI
Think about whether the experience would be impossible without AI
Business Considerations
Consider both development tools and end-user experiences
Plan for scaling costs as user interactions increase
Think about monetization strategies specific to AI-driven experiences
Looking Ahead
The gaming industry appears to be experiencing a "trough of disillusionment" regarding AI, but this presents an opportunity for forward-thinking developers. The key is to focus on experiences that AI uniquely enables rather than just adding AI features for their own sake.
Practical Next Steps for Studios
For Established Studios
Start by integrating AI into existing dialogue systems
Experiment with AI-driven personalization
Look for opportunities to extend session length through AI interactions
For New Studios
Consider building around AI-native mechanics from the start
Focus on mobile platforms for initial releases
Build with scalability in mind
For All Developers
Stay informed about AI capabilities and limitations
Start with small experiments and prototypes
Focus on user engagement metrics rather than technical capabilities
The next few years will likely see the emergence of the first breakout AI-native games, particularly in the mobile space. The key to success will be finding the right balance between technical capabilities, user engagement, and business viability.