Technology and ethics are once again at odds in the gaming world. Following Epic Games CEO Tim Sweeney’s statements, Steam’s AI labeling policy has sparked a heated debate. Valve’s harsh response highlights the polarization between developers and players.
Why is the AI label on Steam a problem?
The debate began when AI lobbyist Matt Workman suggested that Steam and other platforms should remove labels indicating AI (Artificial Intelligence) use in games. Epic Games CEO Tim Sweeney also supported this view. Sweeney argued that in the future, nearly every game will use AI, making labels meaningless. Unlike the Epic Games Store, Steam requires developers to transparently disclose AI use.

The response to Sweeney’s remarks was swift. Valve artist Ayi Sanchez likened the situation to grocery store food. Sanchez argued that consumers have the right to know what’s in a product when purchasing it. According to the veteran, those who fear labeling are generally those who “know their products are low-effort.”
The discussion then focused on ethical values. Sanchez stated that, just as players need to know whether clothing is made with child labor or coffee is organic, they need to know “how” the game is made. The Valve employee emphasized that there is no excuse for content created through cultural theft or intellectual property violations.
Layoffs in the Industry and the Example of Black Ops 7
Developers are justifiably defensive. Mass layoffs in the industry in recent years and the possibility of AI replacing the workforce are exacerbating tensions. Indeed, the recently released Black Ops 7 drew criticism for using AI in in-game visuals. While legal proceedings and copyright lawsuits continue, Valve appears determined to remain committed to its transparency policy.
So, what are your thoughts on Steam AI labels? Do you think games should include this warning? Share your thoughts with us in the comments!

