Localthunk, the developer behind the popular roguelike poker game Balatro, intervened in a dispute on the game's subreddit regarding AI-generated art. The controversy stemmed from a now-former moderator, DrTankHead, who, despite also moderating a NSFW Balatro subreddit, had initially stated that AI art would be permitted on both, provided it was properly labeled. This statement, however, contradicted Localthunk and publisher Playstack's stance.

Localthunk swiftly responded on Bluesky, clarifying that neither they nor Playstack supported the use of AI-generated imagery. A subsequent statement on the main Balatro subreddit confirmed DrTankHead's removal from the moderation team and a policy change prohibiting AI-generated images. Localthunk emphasized their opposition to AI art, citing its potential harm to artists. Playstack's communications director acknowledged the ambiguity in the subreddit's previous rules, suggesting a need for clearer guidelines.

DrTankHead, in a post on the NSFW Balatro subreddit, acknowledged their removal and stated that while not intending to make the subreddit AI-centric, they were considering allowing non-NSFW AI-generated art on specific days. A user responded by suggesting a temporary break from Reddit.

The Balatro situation highlights the ongoing debate surrounding AI art in the gaming industry. This debate is fueled by ethical concerns, copyright issues, and the limitations of current AI technology in producing high-quality, engaging content. Keywords Studios' failed experiment in creating an entirely AI-driven game underscores these limitations. Despite this, major players like EA and Capcom are actively exploring AI's potential, while Activision has admitted to using it in Call of Duty: Black Ops 6, prompting criticism.