Take-Two CEO Zelnick responds to stock price decline: We are actively embracing generative AI

IT Home, February 4th – PC Gamer reports that during Take-Two’s earnings call today, CEO Strauss Zelnick discussed the decline in the company’s stock price caused by Google’s Genie3. He stated that he is not concerned about generative AI and is “a bit puzzled” by others’ worries.

IT Home previously reported that Google launched the AI game model Genie3 on January 30th. This model can generate playable game worlds based on prompts or images. The project has caused industry unease, leading to fluctuations in game company market values. Take-Two’s stock price plummeted by 10% overnight, raising investor concerns.

Nevertheless, Zelnick believes that Genie will not pose a threat to Take-Two. He stated that the video game industry is built on machine learning and artificial intelligence, and the company is excited about the prospects of new tools.

“We are actively embracing generative AI, including our studios. We have hundreds of pilots and practical projects across various fields,” Zelnick responded. “We see opportunities to reduce costs and increase efficiency, making daily tasks simpler and lighter, so our creators have more time to do more interesting things: creating outstanding entertainment experiences.”

It is worth noting that Zelnick’s statements on generative AI have been inconsistent: in October 2025, he said AI is “a combination of data and magic,” and before that, he also said “AI cannot create out of thin air”; in February 2025, he claimed that “AI simply does not exist.”

Analysts interpret Zelnick’s changing attitude as reflected in Take-Two President Karl Slatoff’s remarks during the meeting. Slatoff considers Genie to be a very exciting new technology, emphasizing that it benefits developers: “If this tool proves its value, it can make all our work more efficient and outstanding.”