Kinetix launches $1M fund to accelerate AI-UGC in gaming

Kinetix has unveiled its AI-UGC Fund, a $1 million initiative aimed at empowering game developers and modders to integrate Generative AI technologies directly into gameplay. The first beneficiary of the fund is SmokeSpot Games, creators of the customisable fighting and fashion game Dropcult.

Kinetix’s AI Emote Creator, which can be embedded into games, allows players to generate 3D animations from videos, transforming them into in-game creators. This meets the growing demand for customisation and fresh content while driving social media engagement, as players share their creations on platforms like TikTok, boosting user acquisition through viral content.

The technology has already been adopted by leaders such as OVERDARE, a UGC-focused game from South Korean publisher KRAFTON.

The Fund aims to fast-track the adoption of AI-driven UGC features, offering selected developers up to $75,000, along with integration and marketing support, to bring Kinetix’s User-Generated Emote tech into their games.

This innovation is paving the way for a new era in gaming, where AI will enhance everything from NPC interactions to the creation of virtual worlds. By enabling players to create and share custom emotes, Kinetix is not only meeting gamers’ demand for deeper personalisation but also providing game studios with a continuous stream of content at minimal cost.

“While recent developments in AI make it easy for anyone to create content, this revolution is yet to be provided to players, directly in 3D games,” said Yassine Tahi, CEO of Kinetix. “With this Fund and our SDK, we intend to bring Generative AI capabilities into the hands of gamers, like we already did in OVERDARE or Dropcult.”

Yuriy Ternovski, CEO of SmokeSpot Games, commented: “We centered Dropcult around customizable avatars, fashion and dynamic gameplay that can be streamed and shared on social media. Partnering with Kinetix took this further by letting our community express themselves through movement. Players like to create and share their creations. Everyone wins and we grew a large community around this!”

The AI-UGC Fund Program is a selective, application-based programme designed to identify and support projects with the greatest potential to shape the future of gaming on any platform. Its initial focus will be on live games or those in open/closed beta with established 3D avatar systems and growing monthly active users (MAUs). Applications are open on a rolling basis, early submissions are encouraged. To apply, developers will need to provide detailed information about their project, plans for integrating AI technology, a visual deck or short video, and the amount of funding requested.