Localthunk, the developer behind the popular roguelike poker game Balatro, intervened in a dispute on the game's subreddit regarding a moderator's stance on AI-generated art. The former moderator, DrTankHead, had previously stated that AI art would be permitted on both the main and NSFW Balatro subreddits, provided it was properly attributed and tagged. This statement, however, contradicted Localthunk and publisher Playstack's views.

Localthunk swiftly addressed the issue on Bluesky, clarifying that neither they nor Playstack supported the use of AI-generated imagery. A subsequent statement on the subreddit confirmed DrTankHead's removal from the moderation team and a policy change prohibiting AI-generated images. The developer emphasized their opposition to AI art, citing its potential harm to artists. Playstack's communications director acknowledged that the subreddit's rules regarding AI content lacked clarity, leading to the misinterpretation. The remaining moderators plan to revise the rules to avoid future ambiguity.

DrTankHead, in a post on the NSFW Balatro subreddit, confirmed their removal and stated that while not intending to make the subreddit AI-centric, they were considering a schedule where non-NSFW AI-generated art might be allowed on specific days. One user responded by suggesting a temporary break from Reddit.

The controversy highlights the ongoing debate surrounding AI in the gaming industry. Recent events, such as Keywords Studios' unsuccessful attempt to create an AI-driven game and the backlash against Activision's use of AI in Call of Duty: Black Ops 6, underscore the challenges and ethical concerns associated with AI-generated content. Despite these setbacks, major players like EA and Capcom continue to explore AI's potential, indicating the technology's enduring influence on game development.