Level-5 CEO Responds to AI Controversy Following Fan Outcry Over Game Showcase

Developer Level-5 has issued an apology and explanation regarding its use of generative AI after fans detected what they called "AI slop" in footage from games such as Professor Layton and the Curious Village, DecaPolice, and others.

The concerns arose after the studio's Nintendo Direct-style presentation earlier this week. Titled Level5 Vision 2026 II: Dreams, the event offered first looks at upcoming games but also featured what fans suspected were multiple instances of generative AI.

Viewers of the 50-minute showcase spent more time discussing the perceived AI use than the games themselves, including the Professor Layton remake, Yo-Kai Watch 2: Haunted Domain, and DecaPolice. The footage in question is mostly limited to background scenes, but the fact that fans felt compelled to question Level-5 has turned the situation into a full-blown controversy for the Japan-based studio.

"Oh no Level-5 is DEFINATELY using Gen AI to 'update' Professor Layton. Especially when you compare the original backgrounds to the new. So many weird details and inconsistencies were added," one fan tweeted.

Another fan commented on Yo-kai Watch 2: Haunted Domain, noting that the character Nathan's face had changed in the new trailer.

"I was SO excited when Level-5 announced their big comeback with Professor Layton, Decapolice, Yo-Kai Watch, and more," one fan on X/Twitter said. "But seeing this much blatant genAI being used across their games… yeah, this ain't it"

"You were a beautiful studio," another fan said. "Now you are nothing more than a disappointment to us. We don't want this AI s**t."

Level-5 president and CEO Akihiro Hino, who also hosted the showcase with his own animated avatar, took to X/Twitter to address the uproar. His message served as both an apology and an explanation, confirming that Level-5 did indeed use generative AI for some aspects of development.

Hino described Level-5's heavy use of AI as "experimentation with the latest technology," adding that the team "sincerely apologizes to anyone who found this off-putting."

"However, please be assured that all elements defining the appeal and individuality of our released titles— such as the scenario, character designs, and foundational settings — are created entirely by human hands," Hino said (via Google translate). "We utilize AI primarily to streamline the process of digitizing human-created assets; for instance, accurately converting original artwork into 3D polygon models. You can rest assured that the games we release do not contain content simply generated by AI."

Hino also defended how Level-5 has used AI so far, saying: "the time saved through AI-driven efficiencies has allowed our creators to dedicate more of their efforts to the true essence of creativity." For him and the rest of the team, the belief is that the finished versions of games like Professor Layton and the Curious Village will still please fans in the end. Part of the reason it leaned so heavily on genAI this time around was so it could shrink "the development cycle for major titles from the current five years down to two."

"That said, we cannot deny that we made extensive use of AI this time, driven by a desire to deliver a presentation that was visually striking and easy to grasp," he continued. "We will take this experience as a learning opportunity for the future, so please look forward to Level-5's next presentation."

It's an explanation that hasn't gone over well in the Level-5 community. Replies to the post include fans still concerned about generative technology being used during development at all, fearing that affected games will be forever tarnished.

"Generative AI is trained on the stolen works of countless artists by tech companies to profit off their work, with the intent of replacing artists," one popular reply said. "By using it you replaced artists. You're profiting off of the skill of artists whose work has been stolen to power this software."

"I believe the human heart matters more than speed to market; surely it is better to take five years without using AI," another post written in Japanese said (via Google Translate). "If even a single asset is created using AI, the nagging worry — 'Is this image, piece of music, or line of dialogue made by AI or a human?' — would never go away. Isn't preserving that trust the most important thing?"

Hino didn't offer a specific game plan when it comes to how Level-5 will tweak its development plans going forward. For now, Professor Layton and the Curious Village, a remake of the original 2007 game, is slated to come to PC and consoles in 2027. Another new game in the series, the New World of Steam, is due out this December.