Andreessen Horowitz's Joshua Lu Says Significant AI Shifts in Gaming Not Long in Coming

Joshua Lu, a partner at Andreessen Horowitz, believes the video game industry is undergoing radical changes, particularly due to advancements in AI and new distribution platforms like Discord. With an extensive career that spans roles at Zynga, Blizzard Entertainment, and Meta, Lu has continuously adapted to the evolving landscape of gaming. From contributing to mobile hits like Words with Friends to overseeing the production of high-budget games like Diablo Immortal, and exploring new dimensions with VR games like Horizon Worlds at Meta, Lu understands the dynamic shifts in the industry. This is prepared by SSP.

Reflecting on his career, Lu mentions how joining Meta required him to discard supposed universal truths and adopt new methodologies. This adaptability has marked his career and continues to influence his vision for the future of gaming. In 2022, he brought his extensive industry experience to Andreessen Horowitz, where he helped launch the Speedrun accelerator. This program invests $750,000 into about 40 gaming startups twice a year, and is currently on its third cohort, with applications for the fourth now open.

A significant portion of the accelerator's current batch consists of AI-driven projects, covering everything from AI-crafted stories to AI-generated 3D avatars. Lu envisions a future where high-quality games can be developed with a fraction of the budget and manpower. While this may raise concerns about job displacement, the potential for startups to compete on a more level playing field is promising.

Companies within the Speedrun accelerator are using AI in novel ways. For example, Clementine developed a game where players solve a mystery by interacting with AI characters while concealing their human identity. Similarly, Echo Chunk raised $1.4 million and garnered tremendous attention for their game Echo Chess, which uses AI to generate endless levels, offering a unique and evolving experience.

In addition to AI, Lu is advocating for building games on new distribution platforms like Discord. He notes that traditional platforms for game discovery are becoming scarce and sees potential in Discord’s new feature allowing developers to create in-app games. Several accelerator participants have already begun developing games for Discord, pivoting during the 12-week program to leverage this platform. Lu believes this could help players discover games they'd love, despite the crowded market.

Lu's career, defined by anticipation and adaptation to change, now places him at the forefront of the gaming industry's future through his initiatives at Andreessen Horowitz. By nurturing AI-driven game designs and exploring new distribution platforms, Lu is committed to ensuring the industry continues to evolve and flourish. His goal remains clear: to discover and support the next big breakthrough in gaming, ensuring his place at the cutting edge of a perpetually changing industry.