Krafton has agreed to provide bonuses to Subnautica 2 following the resignation of the CEO who utilized ChatGPT to avoid them.

      Krafton has decided to distribute bonuses to all employees of Unknown Worlds Entertainment, the studio responsible for Subnautica 2, following a legal settlement with the company's CEO and co-founders. CEO Ted Gill confirmed to Bloomberg that he will step down as part of the agreement, stating, “We mutually agreed to part ways.”

      This settlement concludes a year of legal battles, which has been characterized as one of the most unusual corporate governance issues in gaming history. Krafton acquired Unknown Worlds in 2021 for $500 million, alongside a potential $250 million earnout based on specific financial milestones. Last summer, Krafton terminated Gill and co-founders Charlie Cleveland and Max McGuire, citing neglect of responsibilities.

      In response, the three executives filed a lawsuit, claiming that their dismissals were an attempt by Krafton to delay Subnautica 2's release and avoid paying the bonus. In March, a Delaware judge ruled in favor of the executives, ordering Krafton to reinstate Gill and extend the earnout period. The ruling revealed that Krafton CEO Changhan Kim had consulted ChatGPT for guidance on how to evade the bonus payments.

      This detail regarding ChatGPT gained notable attention. Court documents indicate that Kim utilized the chatbot to devise what was internally referred to as “Project X,” aimed at renegotiating the earnout and gaining operational authority over the studio. The judge concluded that Krafton had violated the acquisition agreement by dismissing the executives without proper justification.

      According to the settlement, developers who contributed to Subnautica 2 will receive “significantly more” compensation than initially outlined in the acquisition deal, as stated by Gill. The bonus distribution has also been broadened beyond just the three executives and those who were part of the company during the 2021 acquisition; all current employees of the studio, including those recently hired, will benefit. Payments are set to be made in three annual installments.

      Since its early access launch in May, Subnautica 2 has sold over four million copies, generating approximately $100 million in revenue within just the first week. This commercial success supports the executives' claim that Krafton attempted to undermine the project to avoid compensating the team behind it.

      Krafton and Unknown Worlds will now seek a new CEO from outside both organizations, according to Gill. Krafton did not provide an immediate comment upon request. The settlement also halts any further monetary damages litigation identified by the Delaware court.

      This case serves as a warning regarding the potential pitfalls of gaming acquisitions, particularly when a publisher's financial interests clash with those of the creators. Additionally, it has led to what might be the costliest ChatGPT consultation in corporate history, a detail that may linger in the minds of executives who typically avoid involving AI in critical decisions.