Steam AI Games Won’t Be Banned, Valve Tells Worried Indie Devs

Steam AI games are not going anywhere. At Steam Indie Connect, a developer event in South Korea on October 27, Valve said it will not police which tools studios use, AI included, and told indie developers worried about AI clones that community and constant updates are their best defense.
The event was co-hosted by Valve, the Busan Indie Connect Festival organizing committee and the Korea Creative Content Agency (KOCCA). Tom Giardino and Marc Wilkinson from the Steam business team answered questions from local developers, as first reported in detail by Inven Global.
Valve’s Stance on Steam AI Games and Clones
One developer said indie studios have been receiving emails threatening to clone their games with AI and release them first unless they pay. Giardino said it was the first time he had heard of such cases. He then laid out Valve’s principle: he does not want to be a gatekeeper telling developers which tools they should or shouldn’t use, and whether to use AI is the developer’s call.
Giardino pointed out that clones existed long before AI, which has mostly sped up a familiar problem. His advice mirrors how Valve has treated piracy, where it never leaned hard on DRM and instead tried to make the real version the best one. Build a community that knows your studio, and keep adding features and personality so a single copyable mechanic is never the whole game. He called extortion a matter for law enforcement, but said Valve wants such cases reported so it can look into them and help.
Next Fest and the AI Slop Problem
Another developer raised complaints about a flood of low-quality games in the latest Steam Next Fest. Wilkinson explained that games are shown almost at random during the first two days, before personalized recommendations take over. The random start stops studios from gaming early placement and gives every demo a fair shot. “We recognize that as a trade-off, some low-quality games get exposed,” he said, adding that many people at Valve are working on the issue. Giardino noted that Next Fest has grown from 50 or 100 games three years ago to thousands today.
Valve did not announce any policy change. Steam’s AI disclosure rule, in place since January 2024, still asks developers to list AI-generated content that ships in a game, and live-generated content needs guardrails. Valve dropped the need to disclose AI used only for coding or efficiency earlier this year, but the store page label remains, and Epic Games CEO Tim Sweeney keeps attacking it:
@mattworkman Forcing developers to write a political statement to be used against them by the hate mob they’re helping organize is abhorrent.
— Tim Sweeney (@TimSweeneyEpic) October 23, 2026
For now, Valve’s message to developers is simple: AI is allowed, disclosure stays, and the burden of standing out falls on the game itself. Steam has been busy on other fronts too, from Phantom Blade Zero’s player count to Steam games running on PlayStation 5 via Playden, while PC players can now try Cyberpunk 2077 in a browser.
Sources: Inven Global, heise online, GameSpot, Kotaku
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