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

      Krafton will provide bonuses to all employees of Unknown Worlds after resolving the $250 million dispute over the Subnautica 2 earnout. CEO Ted Gill announced he is stepping down as part of this agreement. "We mutually agreed to part ways," Gill stated to Bloomberg.

      This settlement concludes a year of unusual legal battles in the gaming industry. Krafton purchased Unknown Worlds in 2021 for $500 million, which included a $250 million earnout linked to financial milestones. Last summer, Krafton dismissed Gill along with co-founders Charlie Cleveland and Max McGuire, alleging they failed in their responsibilities.

      The three executives later sued, claiming their dismissal was intended to avoid paying the bonus and delaying the game's release. In March, a Delaware judge ruled in favor of the executives, ordering Krafton to reinstate Gill and extend the earnout period. The judge found that Krafton CEO Changhan Kim had sought advice from ChatGPT on ways to evade the bonus payment.

      This detail about ChatGPT garnered considerable media attention. Court documents revealed that Kim had used the chatbot to strategize what Krafton referred to internally as “Project X,” aimed at renegotiating the earnout and gaining operational control of the studio. The ruling determined that Krafton had violated its acquisition agreement by firing the executives without just cause.

      According to the settlement, developers involved in Subnautica 2 will receive "significantly more" compensation than initially agreed upon, as stated by Gill. The payout has been broadened beyond the original parameters: it was first designed to reward only the three top executives and employees present at the time of the 2021 acquisition, but now all studio staff, including recent additions, will benefit. Payments are set to be issued in three annual installments.

      Since its early access launch in May, Subnautica 2 has sold over four million copies and generated approximately $100 million in revenue within its first week. The game's success strengthens the executives' claim that Krafton attempted to undermine the hit to avoid compensating the team responsible for it.

      Krafton and Unknown Worlds will be looking for a new CEO from outside both organizations, Gill mentioned. Krafton has yet to respond to requests for comments. The settlement also means that remaining monetary claims indicated by the Delaware court will not move forward.

      This situation serves as a warning about the potential pitfalls of gaming acquisitions when a publisher's financial interests conflict with those of the creators. Additionally, it has resulted in what could be termed the most costly ChatGPT consultation in corporate history, a fact likely to remain in the minds of executives who may prefer to exclude AI from critical decision-making processes.