Cygames, the Japanese developer behind mobile hits Umamusume: Pretty Derby and Granblue Fantasy, issued an apology today after facing backlash for announcing a new AI-focused subsidiary without addressing ongoing controversies surrounding generative artificial intelligence.

The Tokyo-based studio clarified its stance while standing firm on moving forward with the project.
The company announced Cygames AI Studio, Inc. on January 9, describing it as a subsidiary dedicated to “developing and providing AI-based services and tools”.
At the time, Cygames stated that generative AI holds “the potential to transform accumulated knowledge into the engine for the next wave of creativity.”
The subsidiary aims to research and develop proprietary AI models while offering tools and services to other companies, all designed for creators to use safely based on Cygames’ experience in game development.
Fan outcry forces studio response
The announcement triggered immediate criticism from players and fans who expressed anger and disappointment. In a message posted on X this Wednesday, Cygames acknowledged they announced the subsidiary without addressing any of the current issues and social debates surrounding generative artificial intelligence.
The response came after days of mounting pressure from their community, particularly concerning the ethical implications of AI-generated content in creative industries.
— Cygames (@Cygames_EN) January 14, 2026
No AI art in games, studio promises
Cygames explicitly stated their current and future games do not and will not use AI-generated art without prior notice. “We hold in the highest regard those who love video games, as well as the dignity, passion, and heart of the creators and artists who act as architects of gaming culture“, the company declared.
They emphasized that “the art in all current Cygames games and other products is created with the technical know-how and manual labor of our many team members“.
The statement is particularly significant given Cygames recent success. Umamusume: Pretty Derby won Best Mobile Game at The Game Awards 2025, while Granblue Fantasy recently launched in the West twelve years after its Japanese debut.
Both titles rely heavily on distinctive art styles and character designs that resonate with fans globally.
The studio concluded by apologizing for causing “pain and anxiety” to their followers, stating: “At Cygames we will continue to honor creators, defend people’s freedom of expression, and in doing so, continue striving to be the best in entertainment“.
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