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Illustration of Epic's Unreal Engine 6 announcement with AI features and Fortnite cosmetics at a conference in Chicago.
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Epic Details Unreal Engine 6 With AI Tools and Cross Game Cosmetics

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Epic Games announced Unreal Engine 6 on June 17 with generative AI features and plans for portable Fortnite cosmetics. The reveal came during State of Unreal and Unreal Fest 2026 in Chicago. Developer Poncle said it is reviewing a planned Fortnite crossover due to the AI push.

Poncle, the developer behind Vampire Survivors, announced it is reviewing its planned Fortnite collaboration following Epic Games' State of Unreal presentation. The decision came hours after Epic showcased generative AI tools during the event. The studio cited concerns over Epic's use of the technology for game assets.

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Steam Next Fest currently features 8700 participating games on the PC platform. Of these, 1704 carry a generative AI disclosure tag, representing about 20 percent of the total.

Steam's February 2026 Next Fest has drawn criticism from players and developers over a flood of demos featuring generative AI art without proper disclosure. Community members are resorting to sorting by popularity to avoid low-quality content, undermining the event's purpose of showcasing indie titles. Valve's disclosure system for AI use appears ineffective, leading to both genuine misuse and false accusations against legitimate creators.

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Generative AI music company Suno has appointed former Merlin CEO Jeremy Sirota as its new chief commercial officer. In this role, Sirota will oversee commercial strategy, industry relationships, partnerships, and enterprise solutions, reporting to CEO Mikey Shulman. The hiring follows Sirota's recent departure from Merlin, where he significantly grew the organization's revenue.

Nintendo has refuted claims that generative AI was employed in promotional images for its new My Mario toy line. The company announced the product's US launch for February 19, 2025, amid social media ads featuring families interacting with the toys. Concerns arose over the realism of hands in the photos, but Nintendo and a featured model have both denied AI involvement.

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PC game publisher Hooded Horse has implemented a strict ban on generative AI-generated art in all its titles, extending the prohibition to every stage of development. CEO Tim Bender argues that even temporary use of AI assets risks contaminating final builds. This policy aims to safeguard artistic integrity and avoid potential backlash from players.

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