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Godot bans AI contributions 🤖 Minecraft server drama ⚔️ OtherSide layoffs 💼

2026-07-02 · 10 stories · 25 min read

Top Stories

Godot bans "autonomous AI agent use or vibe coded" contributions (2 min read)

Godot updated its contribution policy to ban autonomous AI agent use and "vibe coded" submissions, requiring all code to be human authored. The Foundation cited a backlog driven by AI-generated contributions overwhelming its small reviewer pool; reviewing AI code is demoralizing because it doesn't mentor future maintainers. New rules prohibit autonomous AI agents, substantial AI-generated code, and AI text in human communication. Violations result in auto-ban from the GitHub repository. (GamesIndustry.biz)

'This Is Borderline Evil' - Minecraft Creator Speaks Out Against ESA Calling Private Servers 'Illegal' (2 min read)

Minecraft creator Markus "Notch" Persson publicly criticized the ESA for claiming private servers are "illegal" and constitute piracy, calling the assertion "borderline evil." The ESA made the claim during a California State Senate hearing on the Protect Our Games Act, which would require publishers to maintain game functionality after ending support. Minecraft's official website actively encourages private servers and provides tools to create them; the ESA later issued a softer statement acknowledging publishers take different approaches to IP enforcement. (IGN)

OtherSide Entertainment lays off 18 from Thick as Thieves team (3 min read)

OtherSide Entertainment laid off 18 employees from its Thick as Thieves team, bringing total cuts to 36 staff in one month following the June cancellation of a game codenamed Argos. The studio reduced Thick as Thieves' scope from a larger competitive multiplayer immersive sim to a $5 single-player and co-op title. A company spokesperson cited lengthy development cycles in the immersive-sim genre as increasingly commercially unviable, though the studio retains fewer than 10 employees for maintenance support on Thick as Thieves. (Game Developer)


Business & Finance

Kepler Interactive acquires stake in indie publisher Oro Interactive from venture capital firm (2 min read)

Kepler Interactive acquired a stake in Belgian indie publisher Oro Interactive from venture capital firm ForsVC, which achieved a sevenfold return on investment in less than two years. Oro will continue operating independently with Kepler as its main investor. (GamesIndustry.biz)

Krafton and Unknown Worlds founders settle Subnautica 2 legal dispute (4 min read)

Krafton and Unknown Worlds settled a year-long legal dispute over Subnautica 2 earnout bonuses. Krafton agreed to dismiss all pending lawsuits and pay enhanced bonuses to all studio staff. CEO Ted Gill is exiting the company. (Game Developer)


Studios & People

Ubisoft appoints former 2K and Amazon exec Christoph Hartmann to lead Creative House 2, overseeing Splinter Cell, The Division and Ghost Recon (2 min read)

Ubisoft appointed Christoph Hartmann, former 2K Games founder and Amazon Games head, as General Manager of Creative House 2. The unit oversees Splinter Cell, The Division, Ghost Recon, and the newly acquired MOBA March of Giants. (GamesIndustry.biz)

Sega Europe vet Jurgen Post steps down as West Studios COO, Rovio's Alex Pelletier-Normand taking his place (2 min read)

Jurgen Post stepped down as COO of Sega Europe's West Studios, replaced by Rovio CEO Alex Pelletier-Normand. Post remains as an adviser; Tatsuyuki Miyazaki, a 20-plus-year Sega veteran, takes over as regional managing director. (GamesIndustry.biz)


AI/Tech & Tools

Xbox is reportedly considering dropping disc drives as it tests new feature that lets players digitize physical games (2 min read)

Xbox's next-generation console, codenamed Project Helix, is reportedly being tested without a disc drive. Microsoft is also testing a feature allowing players to digitize existing physical game collections, with digital access revoked if the disc is sold or loaned. (GamesIndustry.biz)


Policy & Labor

Union workers establish hardship fund to support devs impacted by layoffs (3 min read)

UVW-CWA established the Game Worker Hardship Fund to provide financial support to game developers impacted by industry layoffs across the US and Canada. Eligible applicants can request up to $5,000 for basic expenses like rent, groceries, and medical bills; union membership is not required to apply, though membership dues fund the initiative. (Game Developer)

Sony announces an end to the PS3 and Vita digital stores (3 min read)

Sony is closing the PlayStation 3 and Vita digital stores, with support ending in select markets in August 2026 and globally by July 2027, citing outdated payment systems unable to support modern commerce standards. (Eurogamer)


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