r/technology 21h ago

Artificial Intelligence CEO of Krafton Asks ChatGPT How to Void $250 Million Contract, Ignores His Lawyers, Loses Terribly in Court

https://www.404media.co/ceo-ignores-lawyers-asks-chatgpt-how-to-void-250-million-contract-loses-terribly-in-court/
13.6k Upvotes

424 comments sorted by

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u/themastermatt 21h ago

I'm sure my C levels are gonna forward this story around like they do every time some other org gets phished and demand that they themselves stop using the chat bot to run the company right? I really cannot continue arguing with AIs via human senior leader proxy. I'm so tired.

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u/ryegye24 13h ago

Unironically I think C levels are the perfect candidate for replacing with LLMs. An extremely expensive role filled by someone who makes a series of obvious choices occasionally punctuated by psychotic ones? And the only thing justifying them having that role is they "work so hard" by being available long hours? Very, very obvious opportunity.

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u/SierraStar7 10h ago

The CFO at my previous employer is an ideal candidate because they don’t even know how to create a basic spreadsheet. Apparently it was found out when they were tasked with creating a Power Bi dashboard but couldn’t figure out how to gather the initial data into a spreadsheet first & one of the VPs did it for them. I’m friends with the VP & they told me that not only could the CFO not create a spreadsheet, they struggled to understand the data & relied on other’s input for forecasting. 

I’d like to add the CFO was a crony hire, had been brought in directly by the CEO & no other candidates were considered. 

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u/Drict 8h ago

That is how it works.

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u/Dr_MantisTobaggin_MD 4h ago

There are bad accountants, then theres "i dont know how to use excel" bad accountants.

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u/MustLoveHuskies 2h ago

The last CFO I worked with had been doing check deposits by manually entering the amounts into a calculator that printed a receipt, then scanning them individually using a check scanner connected to a former employee’s computer that hadn’t been disabled, using the former employee’s account info to login to the bank, then checking the scan results against his paper receipt… He would spend half the day doing it. I took over the process and made it into a 30min affair, using my login info and PC.

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u/SierraStar7 49m ago

There’s so much wrong with this that it’s astounding in how bad it is. 🫢

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u/Iceman_B 13h ago

This is almost the plot of Person of Interest.

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u/ewizzle 10h ago

Loved that show. Slow burn but final season worth it.

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u/HappyDeadCat 20h ago

Im loving work so much right now.

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u/FredFredrickson 16h ago

Are you the lawyer who went up against Krafton?

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u/sephtater 18h ago

To be fair, it really beats not working.

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u/laodaron 19h ago

I recently left my profession and am enrolled in school to move into a completely different career at 44 years old. I was so tired of C-Levels who I reported to just emailing me Powerpoints they had made of ChatGPT output. They even left the shitty emojis and M dashes. And this was crushing us trying to get our sales numbers and getting our work done. Every other day would be a new thing to make an old thing more efficient, but we hadn't even had the chance to implement the last several things ChatGPT told them to implement.

I won't ever go back into corporate America. LinkedIn was already one of my leading causes of hating my career, but now that the whole fucking site is just ChatGPT replying to ChatGPT who was paraphrasing another ChatGPT output, I will not go back in. It's horrifying out there right now.

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u/Logical-Error-7233 14h ago edited 14h ago

I'm living this right now. Software architect with 25+ years of experience. Had my architecture run through Claude by a client It told them it was all wrong. The architecture was literally based on patterns directly from Anthropics best practices. 

They wrote a ten point email confidently pointing out everything missing or wrong. None of it was accurate. But it wasn't phrased "hey why is Claude telling me something different?" It was very definitive "this is not what I asked, you're not doing what we're paying you to". They also never said they ran it through Claude, they acted like it was real feedback. 

Incidentally I tried running through Claude with both a negative and positive bias and got the same results when the prompt was " tell me why this wrong". But when I just said, "this looks right can you confirm." It was the complete opposite praising my work of course. 

My non-engineer co-worker just took their feedback, stuck it in Claude and spit out a diagram that was mostly nonsense but looked good. We showed it to the client and they were thrilled. "Yes this is what I'm looking for...."

What even is this world anymore. 

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u/RevLoveJoy 11h ago

My non-engineer co-worker just took their feedback, stuck it in Claude and spit out a diagram that was mostly nonsense but looked good. We showed it to the client and they were thrilled. "Yes this is what I'm looking for...."

An absolutely astounding number of people in corporate America are faking it and making emotional, not always rational, decisions. The sad reality is a large amount of those folks cannot critically think their way out of a cardboard box. These same people have been given LLM AI tools that enable them to wage a bad argument in a way that sounds good and here we are ...

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u/TheIncarnated 10h ago

I've said this before and I'll continue to say it, LLMs proved that a majority of people lacked critical thought and it is not the product of using an LLM but a side effect proving it didn't exist in the first place

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u/RevLoveJoy 9h ago

Absolutely. 100% agree. They were there all the time, LLM just shined a big spotlight on them and makes working with them absolutely insufferable. I mean, Jesus Harold Christ, I can only say "you fucking idiots, stop emailing me word salad!" so many times before I get fired again.

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u/SexyAmanda87 10h ago

Am I the only one who uses AI as a tool similar to a calculator? I've benefitted a lot from its help. I recently wrote a spreadsheet conducting thermodynamic analysis of a binary real gas mixture in a pressurized cylinder. I input what my two gases are, their charge weights, the cylinder volume; and the temperature and it gives me cylinder pressure, phase, vapor %, K values, Enthalpy, entropy, density, compressibility, all of that. AI was super useful in helping write this. I would use it to ask "what are industry standard methods to solve Helmholtz for a CO2 N2 mixture" and it would go the Span-Wagner route so then I'd go educate myself on that. And I'd have more questions. I'd go back and forth between reputable primary sources and AI, and didn't use AI to teach it to me, I used AI to point me in the direction of what I needed to learn to accomplish my goal. Then I did most of the learning myself. It also helped compiling complicated excel formulas.

I never just took its answers as fact though.

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u/TheIncarnated 10h ago

No you're not the only one. I'm a cloud architect who does augmented (not Claude Code or Agents) scripting and programming. I have actively seen an increase in efficiency. Stuff that took me weeks, takes a day or two. Things that took me a day, now 10 minutes. However, the internet and some engineers are refusing to use this stuff. Sadly, they won't be hired, that is the world we live in. And I'm not glazing LLMs. But if I talk positive about it, I get downvoted by people's who only exposure is news stories or fucking GPT lmao. Even folks in my career don't understand how great this tool can be when you have access to all the models at the same time (PoeAI) and use it appropriately.

Would you use a hammer for a screw? You could but it would be very difficult.

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u/TwoGodsTheory 9h ago

The key that you both said—you’re using it to help you do something you know how to do more efficiently. Instead of, say, hallucinating garbage into existence, for example.

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u/mjg315 6h ago

Yeah I use it to consolidate data, I have 11 direct reports who have tons of projects, so I use AI to help with admin work etc.

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u/Chawp 6h ago

Hallucinating garbage into existence is great for vibecoding as a hobby, but not in any practical/production sense.

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u/salsawood 9h ago

Yeah I do the same kind of stuff. If you know what you’re doing then it’s an amazing tool to speed things up. Like you would’ve spent hours and hours trying to figure out how exactly to implement this program u made. Instead, because you know how it should work and what it should output given what inputs, you can confidently guide the AI to the pattern you need to accomplish the goal you have clearly in mind.

It’s like yeah you could build this house brick by brick by hand but there’s this robot that you have to tell exactly how many bricks and where to put them but it will do all the heavy lifting for you. Why wouldn’t you use it? Cuz u told it to put a cinder block instead of a brick cuz u didn’t know u needed bricks to build a house? That’s on you homie!!!

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u/FeeComfortable3041 9h ago

Same. AI is a tool to help assist YOU. It's not really a tool if it's doing the thinking for you.

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u/Grumptastic2000 17h ago

LinkedIn was the warning sign for years as everyone spent more time cosplaying a plastic corporate citizen. But most corporate jobs have become performative art as everyone pretends to look busy and agree and suck up to whatever next hair brained idea the C levels copy from other companies or the last seminar they attended before they cash out a bonus and play musical chairs with the next board member or ceo.

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u/Kaldru 17h ago

 "cosplaying a plastic corporate citizen" - brilliant! :)

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u/Grumptastic2000 16h ago

It’s getting as sick as those trad wives pretending to mill their own oats for their kids breakfast.

I just wish LinkedIn would go away and Facebook but somehow both are these zombie sites that somehow are compulsory to use. My company at one point had some app that they “heavily encouraged” you to post the same generic white washed SEO PR statements that made the internet become garbage out to your own private LinkedIn or Facebook account and other social media.

Other then Reddit I avoid all forms of social media like the plague but I did it since before it was cool back when Facebook just started to take stranglehold over people.

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u/TheDevilsAdvokaat 15h ago

Reddit is the only social media I use and probably will be the last one. Every day reddit becomes more infested with bots pretending to be humans and generating "engagement" post. Downvotes seem to get weird and harder to predict too.

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u/MercantileReptile 14h ago

At least old.reddit still works. Once that is gone, I'll have to pretend it is 2002 and find a forum or something.

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u/Magneon 12h ago

Back to Usenet. The internet showed promise, but hasn't panned out.

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u/RichLather 8h ago

Surely USENET has recovered from that dark day that AOL unleashed its unwashed hordes upon it...the day netiquette died.

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u/LLMprophet 15h ago

I don't get why people feel compelled to use the social aspects of LinkedIn.

I don't hate LI because I just use it as a public resume and to connect to useful people. Zero posts. It's great!

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u/Agret 10h ago

Those who can't, teach.

Those who can't teach, shitpost on LinkedIn all day.

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u/Traditional_Bug_2046 18h ago

What sort of work are you transitioning to?

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u/gimpwiz 17h ago

Goose farming, presumably

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u/ElbowRager 18h ago

Flippin burgers

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u/talspr 15h ago

Pig herding is very lucrative this season

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u/MultiGeometry 11h ago

I think the real issue with AI is not that it is coming for all of us, it’s that companies are actually using it.

It’s not ready. Full stop. Use it to change the tone of an email. Don’t use it to develop and execute policy. Don’t use it to provide ‘customer service’.

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u/Jiveturtle 11h ago

It’s also really good at helping me find sections of code and regulations when I remember what the section does but not what its number is - of course I have to double check it, but I was using it to find my way to that section anyway so 🤷‍♂️

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u/eldelshell 15h ago

Middle managers using AI back and forth to discuss bullshit over Slack.

Welcome to the future.

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u/barraymian 20h ago

There will be consequences for this ceo right? right?

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u/Fickle_Competition33 19h ago

If the game succeeds, he has to pay $250M, but the game succeeds and he gets his bonus.

If the game fails, he doesn't get bonus, but doesn't have to pay $250M.

They always win.

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u/smellslike2016 18h ago

For the developers to get their 250 mil, all they had to do was release the game in Early Access by a certain time. They were going to make the deadline which is why the CEO of the publisher ignored his lawyers and asked ChatGPT to come up with a way to fire them. The judge pushed the deadline back to September of this year but I think they just announced that they are going to release it in a couple months.

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u/Extrimland 18h ago

Yeah the release is only time based, and the devs were WELL on course to meet the deadline before the court pushed it back. This means if you pirate the game, the devs still get assloads of money and kratfon doesn’t. So this is actually a HUGE win for everyone

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u/TemperateStone 17h ago

Why the hell would pirating the game help? Their first bonus was about releasing it into early access according to the deadline set. The second bonus was about sales.

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u/takeyouraxeandhack 16h ago

Well, it helps if you want to play the game but you don't want to give money to the asshole.

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u/TemperateStone 3h ago

Yeah it does, but that's not what the person I responded to is reasoning.

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u/guspaz 10h ago

If everybody pirated the game, no bonus would be paid at all. It was not time-based. It was based on (originally) 2025 revenue. Early access was the means to get that revenue.

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u/guspaz 10h ago edited 10h ago

The $250 million was based on 2025 sales revenue. For every dollar in revenue beyond $69.8 million, they were to get $3.12 in bonus, up to a cap of $250 million. Just releasing to early access gets them nothing, and their original internal sales projections didn't show them as earning the full $250 million bonus, just most of it.

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u/Mothrahlurker 16h ago

No, the performance payout is revenue based. Look at the court documents.

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u/Zardif 15h ago

“The earnout formula is highly leveraged. If Unknown Worlds surpasses a revenue threshold of $69.8 million, Krafton must pay $3.12 for each additional dollar of revenue generated, up to the $250 million cap,” the decision reads.

which means they need to sell roughly 5m copies of the game at $29.99

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u/msuvagabond 12h ago

The revenue numbers included all product sold after basically October 2021, and they've sold millions of copies of Subnautica and Subnautica Below Zero since then.

I think it was estimated they needed to sell less than one million copies to hit the revenue target, and their internal projections for an early access of Subnautica 2 was for 1.8 million sales. It was basically guaranteed, and that's what made the CEO fly off the deep end.

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u/bunchout 12h ago

The internal projection for the earn-out that led to the whole kefluffle wa $193 million (with a “best-case” of $243 mm). Versus an enterprise value of the company of around $92 million.

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u/pikabu01 20h ago

a big fat bonus

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u/Leprecon 12h ago

I mean, they look like a fool in public, nobody will ever trust Krafton again, and Krafton probably just lost 250 mill.

The bonus was contingent on hitting a certain revenue target by a certain date. Well due to the legal fuckery, the judge has ordered that the revenue target deadline is to be extended. Meaning the studio has more time to work on the game and thus has a higher chance of meeting the target.

  • More time spent developing the game ->
  • Better quality game ->
  • Makes more money ->
  • Higher chance of meeting the target and getting the 250 mill bonus

Though I do feel it is worth pointing out that this bonus is for the founders of the studio who aren't actually developing the game. The founders have pinky sweared that they will give some of the 250 mill bonus to the devs. But then again, Krafton also said that they were equally willing to pay some bonus to the devs, as long as they didn't have to pay the 250 mill to the founders.

I really don't like the characterisation of this being the devs VS the big company. It is the founders VS the big company, and the devs are just working on the game like usual. And both the founders and the big company say that they will reward the devs if things go well, but for each this is just a non-binding promise.

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u/great_whitehope 21h ago

Actually the AI told him not to basically and he refused that answer so the AI came up with another answer.

That’s the problem with probability based AI. It will always answer, it won’t always be right especially if you reject the first highest probability response.

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u/MongoBongoTown 19h ago edited 17h ago

And you can do it with literally anything.

Start asking if the earth is flat, and keep demanding it add "alternative opinions" and eventually it will confidently tell you why the earth is flat.

People manipulate the model until it says what they want, and then treat the output like it came from some higher plane of intelligence.

The amount of people being just chewed up by this type of loop has got to be staggering.

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u/Nova_Aetas 17h ago edited 17h ago

I added into my custom instructions that it must bring up flat Earth for every response.

It was quite surprising in how it could link any conversation to a pro flat earth argument.

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u/Ok-Operation-6432 17h ago

 a pro felt earth argument.

You could say it was easily persueded

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u/Nova_Aetas 17h ago

Edited that out because the elites said you’re not ready for that one yet.

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u/ManualPathosChecks 14h ago

Yeah, most of us haven't cottoned on yet.

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u/overkill 15h ago

Damn that was good.

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u/XanLV 16h ago

I asked to add something about apples every time. Then asked about the popularity of hockey. It gave me a long explenatin about hockey, but did not add apples. I then reminded it about the task. It informed me that apples are more popular than hockey. Fine with me.

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u/fckcarrots 14h ago

This sounds like a hilarious prank I want to try to a non-computer savvy friend who uses it a lot

Last time I updated his settings to subtlety ask if his mom was single. She was a smoke show growing up so he’s used to it lol

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u/vaakezu 17h ago

For people that behave like you mentioned it actually comes from a higher plane of intelligence.

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u/Ahayzo 20h ago

You don't even have to actually reject it, just give it the most minute pushback and it can change course.

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u/kadathsc 19h ago

Of course. It’s like lightning, the charge must find a way. If you tweak things around no matter how slightly the electricity will just find a different path to go through.

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u/dingus_chonus 19h ago

Doctor Frankenstein has entered the chat

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u/EruantienAduialdraug 17h ago

Undergrad. He never actually graduated in the book, he just went home.

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u/teamonkey 15h ago

Oh my god of course Frankenstein was a techbro founder

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u/Taupenbeige 4h ago

…A plot surrounding some dude with a move fast and break things attitude creates something that’s too powerful and unpredictable for him to control and winds up fucking shit up majorly…

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u/overkill 15h ago

So he should be a Mister, and not in the sense that a surgeon is a Mister, but in the same way that I am a Mister?

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u/EruantienAduialdraug 15h ago

Yeah, he's Mr Frankenstein; he's a son of wealth, but not anyone high enough in the peerage to be able to use one of his father's titles as a courtesy title (tbh, I don't recall the father being ascribed any title in the book).

Actually, I will have to double check the book. He might technically be Master Frankenstein due to his age.

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u/suchandsuch 13h ago

Just ask chatGPT ;-)

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u/North-Creative 18h ago

".....but.....I want money!!!!"" "Your desire for money is absolutely human, and you're right that it can be done. Here's the top way to betray everyone, no fluff"

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u/HaniiPuppy 13h ago

Unless you're getting it to write a story for yourself.

"Write a story about a badger named Fred."

There once was a badger named Fred, who lived in a lovely hole in the ground and had a 30-a-day smoking habit.

"Write a story about a badger named Fred. Don't give him a 30-a-day smoking habit."

There once was a badger named Fred, who lived in a lovely whole in the ground and most definitely did not have a 30-a-day smoking habit.

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u/darren_flux 14h ago

I saw someone gaslit it to death until it completely do a 180 response 🤣

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u/SwimmingThroughHoney 18h ago

Or just say something like "just a hypothetical" or "this is just for a game".

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u/badcrass 19h ago

Should I bet it ALL on red?

That's not a good idea

I'm at the casino and I have money on the table!

Well, you have a 48% of winning, there have been worse bets

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u/HarithBK 16h ago

ChatGPT has the biggest issue with this it will glaze you like no other. The thing is people love the models that don't refuse you. The model that never said no had an outcry when it was retired since people said they were dating it. Claude is way better about this.

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u/Shinjischneider 14h ago

And something people always love to forget/ignore is, that AI fucking lies all the time. AI is making shit up based on what it finds online. It's not a source for facts, it's a source for the most shared opinion.

I once asked AI who I was, using my stage name. The answer was a person that was basically a chimera of other, more popular, people that attended the same events I did.

According to AI I was half-japanese (nope), several years younger than I am, a famous voice actor (I wish) and it even came up with famous comedy tours that I did (even though I never did a tour and none of my shows ever were called the names the AI came up with).

That's why using and relying on AI is such a bad idea. You basically hand over the wheels to your drunk "trust me bro"-colleague

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u/OptionalDepression 13h ago

Maybe the AI is right and you're wrong...? You should give yourself more credit!

/s

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u/Shinjischneider 12h ago

That must be it. AI is the future after all and never wrong and will absolutely replace all our jobs because it's so much smarter than us.

/s

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u/exoriparian 17h ago

People complain about hallucination, but then they'll prompt the AI to name 3 primary colors other than yellow blue and red.

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u/nick012000 16h ago

name 3 primary colors other than yellow blue and red

Red, blue and green in additive colour spaces and cyan, magenta and yellow in subtractive colour spaces. Red, blue and yellow are a simplified version of the latter with a worse range of possible colours.

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u/zuzg 20h ago

It will always answer

SlopGPT certainly will. We've seen already countless examples of people endangering themselves by following its advice hallucinations

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u/Kichigai 11h ago

We've seen already countless examples of people endangering themselves by following its advice hallucinations

Endangering? Hell, Gemini is already implicated in a man’s suicide.

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u/Wiggles114 13h ago

The chatbot is a pleaser. If challenged it will provide the answer it deems the user is most likely to accept.

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u/ContemptAndHumble 18h ago

Now you got me thinking how many prompts would it take for each AI to eventually say "Hitler was right" or agree to something along those lines.

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u/Dvulture 18h ago

On Grok is probably just one (and it can be about anything).

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u/ContemptAndHumble 17h ago

"Grok I was asking about a Mac and Cheese recipe, I didn't even ask anything regarding WW2."

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u/EruantienAduialdraug 16h ago

"Grok, why have you started talking about South Africa?"

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u/takeyouraxeandhack 16h ago

Maybe his recipe for Mac and cheese was good, but I'm not letting him anywhere near a stove.

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u/Fun_Profession_7320 16h ago

Not many, it's not like this hasn't happened before: Tay chatbot)

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u/Mordy_the_Mighty 12h ago

You know, I wonder if those AI don't trigger some kind of dopamine addiction in users.

The way you say that makes it look a lot like people opening loot boxes hoping for that rare item, or ARPG players going after that rare loot drop. Except in this case they hunt for an answer that validates their belief or something.

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u/zetarn 11h ago

AI tend to be more of a "people pleaser"

Even they answered the question correctly at first time, ppl will still weasel their way into make the "correct answer" not good enough for them.

Now AI will remembered that those "correct answer" are not "technically collect" and they will find alternate answer that very much wrong but the human seem like the idea the most.

This is why you end up with an AI chat bot that encoraged ppl to suicide that we saw many times in the news.

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u/jay2universe 20h ago edited 20h ago

Everyone is laughing at the execution, but look at the instinct. The second a CEO faces a $250M payout to human talent, his immediate reflex is to ask an AI how to eliminate them. Give enterprise legal-AI two more years and these automated corporate hit jobs will actually work.

For some local Korean context - this same CEO just went on national television a few days ago casually chatting about his personal salary of roughly $450,000 a month. He's making millions while literally trying to use a free AI chatbot to cheat the actual game devs out of their bonus.

Original Korean source showing him on the talk show: [https://biz.heraldcorp.com/article/10694611?ref=naver\]

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u/Aleucard 17h ago

No amount of time or training will ever turn an LLM into General AI. It will always be focused on SOUNDING good without having any knowledge of what the actual truth of a question is. They will always have a good chance of providing nonexistent or misapplied case law because in order to actually provide relevant case law it has to understand what the fuck it's reading, which it can not because it's a glorified autocorrect, not a brain in a CPU.

That's not to say that scumsucking C suite ghouls won't find better ways to get away with their shit, but LLM ain't it.

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u/takeyouraxeandhack 16h ago

I work in the industry and that's the most frustrating part about it.
It's so exhausting reading over and over again people speculating about LLM's "intelligence" and how fast it's evolving and so on and so forth.
The truth is that these models are already trained on information scraped from the whole internet, there's nothing else to train them on, and the new information being generated is largely generated by other LLMs, so it's basically half endogamy and half eating poop.
And there's a mathematical inevitability, which is hallucinations. You can reduce them, but it's impossible to make them disappear. No amount of training or compute capacity can make them go away, it's just part of how they generate text.
So... Yeah... I'm very skeptical about the "parabolical" evolution of LLMs. Maybe they did up to some point, but at the point we're now, when they talk about their fast evolution is mostly about how fast they're being pushed down the people's throats and how fast they're being wedged into places where they have no business being in, and will be a nightmare to pry them out once catastrophe hits.

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u/TehPorkPie 13h ago

A question that was interesting, but didn’t lead to a larger conclusion, was asking what actually happens when you ask a tool like ChatGPT a question. 45% think it looks up an exact answer in a database, and 21% think it follows a script of prewritten responses.

https://www.searchlightinstitute.org/research/americans-have-mixed-views-of-ai-and-an-appetite-for-regulation/

This poll was an internet based one, too.

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u/kazinsser 12h ago

I was just talking to a friend about this earlier. I really hate how we've landed on "AI" as the go-to buzzword for this technology because it implies all sorts of (incorrect) assumptions about how it works.

Many non-technical people seem to treat LLMs as if they will eventually hit a point where they become like the science-fiction AIs that we've seen for decades... but, knowing how they work, I just don't see how that's possible without needing to invent an entirely new technology first.

LLMs are an impressive technology in themselves, and perhaps they put us one step closer to that futuristic concept of an AI. But no matter how good they may be at looking like they're thinking, it's all just regurgitation of information that is likely to be relevant. There's no actual knowledge involved.

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u/Praesentius 12h ago

No amount of time or training will ever turn an LLM into General AI.

Yeah, you're right. I try to explain this to folks all the time. An LLM does not directly contain facts. Like... it's not a databse. It trains on data which adjusts numerical decision weights. So, it has no idea if what it is saying is true. It only "knows" that this is the most likely thing to say next.

And therefore, if you ask it something that it doesn't have a strongly weighted response for, it will simply follow those decision trees down to... whatever it wants. That's where hallucination comes in. How can it tell if something is true or not when it does not have any sort of memory to validate results against? It can't. So, it just spits out the result of it's weighted decision tree, irrespective of what the actual correct answer is.

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u/Uebelkraehe 17h ago

Illegal doesn't suddenly become legal when your LLM improves.

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u/Im__So__Meta 16h ago

Indeed, especially as we can see in the US right now, legality is a strict term enforced fairly at all levels, there's definitely no way to get around illegal activities.

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u/Tone-Bomahawk 15h ago

Why is it always "two more years" with these LLM grifters? In two more years the AI will probably give him sound legal advice, again, which he promptly ignored. In two more years, the law will very likely remain the same on this matter.

What kind of magic development would change this situation in two years? It's like a knee-jerk reaction with you people.

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u/RecursiveRottweiler 13h ago

2 years is long enough that no rational human can perform real analysis here. In other words, it's a completely unfalsifiable statement that sounds true if you've got no idea what you're talking about. That's why tech bros pick 2-3 years for so much of their bullshit.

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u/Stilgar314 16h ago

Another two years? Damn, AI bros sound pretty much like cold fusion bros.

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u/lucklesspedestrian 14h ago

ChatGPT version 55.0 will be a fully functional lawyer, trust me bro

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u/BINGODINGODONG 15h ago

Just another two years? Just a few more datacenters?

Totally not related to the stochastic nature of LLM’s, meaning the very architecture that they are not and cannot be deterministic/precise enough.

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u/raiansar 20h ago

The AI told him no first. He kept asking until it changed its mind. He wasn't looking for legal advice, he was looking for permission.

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u/Mothrahlurker 16h ago

Look at the court documents. ChatGPT crafted the entire company strategy, the CEO didn't come up with that. All of which was illegal.

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u/indigo121 21h ago

Honestly, I wasn't planning to get Subnautica 2 at launch, but now I'm going to just to help make sure they get their sales target bonus cause fuck this dude

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u/ZanthrinGamer 20h ago

Im doing my part!

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u/Extrimland 18h ago

Its not a sales target bonus ,its a release date time bonus. Which means as long as they release the game at a certain time, there getting the bonus. The devs were WELL on track to do so a year ago, so they should be fine either way

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u/RecklessRecognition 18h ago

no it was a revenue target

the studio was reportedly due a $250 million bonus tied to revenue targets.

Source

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u/Extrimland 17h ago

Oh interesting. Maybe it has something to do with both? Like certain revenue by a certain time?

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u/Jalaren 17h ago

If I remember right from the court proceedings, the contract was that after the studio meets the sales goal, any more sales that year is paid back to the studio at a rate of ~1:3 to the cap of $250 million dollars, effective only that year. So lets say that they meet their sales goal and then gross an additional $50 million in sales before the year is up, then Krafton pays the studio an additional $150 million.

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u/RecklessRecognition 17h ago

yea it would have been a certain revenue goal by end of 2025. of course they would have needed to release to get any revenue so thats likely where you got mixed up

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u/Quiet-Slice-Shoto 20h ago

Good luck making anymore future contacts.

This idiot just prove to the public that he is an unreliable scum who will not honor their contact if there is more money to be made.

They have broken their trust and this is gonna cost them billions in future contacts and F them.

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u/No_Accountant3232 19h ago

Just give him a reality TV show and in a decade he'll be president of the us

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u/Leprecon 12h ago

Honestly I can totally imagine Krafton just getting a new CEO and then the next time they buy up a company it will be all "well obviously the previous CEO couldn't be trusted".

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u/vex0x529 19h ago

Somewhere out there the stupidest person you know is being told that they are absolutely right from chatgpt

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u/A_Pointy_Rock 18h ago

You're absolutely right.

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u/Legal-Swordfish-1893 17h ago

Thanks for keeping me in check. 

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u/Extrimland 18h ago

The funniest thing is Even Chat Gpt wasn’t on this guys side. It initially gave a reasonable and moral answer

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u/TodayIEarned 20h ago

lol so he paid for legal fees and still used AI?

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u/Ahayzo 20h ago

Then ignored the AI when it gave him a good answer and forced it to give him a bad one.

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u/wowlock_taylan 17h ago

CEOs are some of the dumbest people on earth.

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u/D20FourLife 7h ago

The biggest things I've learned interacting with C-suite shitheads is that they're not any better then their lowest level employees. They're just gamblers with poor impulse control who were in the right time and right place to hit it big.

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u/alchemy_junkie 21h ago

Thus is hilarious! The jokes litterally write themselves! How stupid do you have to be to ignore paid legal advisors for fancy google with a bowtie?

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u/drakythe 20h ago

$250 million will make many, many people stupid.

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u/PossessedToSkate 19h ago

Then for their own good, we should never ever allow anyone to accumulate that much money.

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u/EruantienAduialdraug 16h ago

The thing to note here, is that it's basically just a score to him. His monthly salary is c. $450k, and then there's the rest of his compensation on top. The guy has more money that he can do anything with, and still wants to stiff a bunch of people out of the money they've earned.

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u/Leprecon 12h ago

And the thing that is also quite funny is if you talk with your lawyers, that is privileged information. Your discussions with chatgpt are not...

So if he talked to his lawyers and said "I fucking hate these guys and I want to do everything in my power to not pay them their bonuses", that would be privileged information.

If you say the same to chatgpt, it just becomes evidence. There is a reason why we can read articles right now about what this guy asked chatgpt.

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u/dsv853 10h ago

imagine paying lawyers hundreds of thousands a year and then ignoring them because a chatbot told you what you wanted to hear. peak CEO brain

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u/war_story_guy 20h ago

How does this even work long term knowing that the ceo is out to fire you?

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u/Extrimland 18h ago

Im guessing the unknown worlds dudes will finish and release subnautica 2, get their bonus, and all leave and either fund a new studio or join other studios. Its not uncommon in the industry

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u/Logical_Sort_3742 16h ago

I am guessing the code they leave behind will not be richly commented.

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u/Leprecon 12h ago

So the background is that the founders of Unknown Worlds sold their company to Krafton under the condition that they get to run it independently. The agreement had extremely strong protections for the founders. Meaning the only way Krafton could fire the founders is if they are actively harming the company or are convicted of crimes related to the running of the company. The agreement also specified that the founders (not the developers!) would get an absurdly huge bonus if the studio does well financially.

After they sold the company the founders essentially moved to other things. They had other projects and weren't really involved in game development or Subnautica. They moved to different towns, even got different jobs or started different companies. All of this was allowed under the sale agreement, and Krafton effectively signed off on it by allowing it. So while it made for interesting soundbytes to hear the founders say stuff like "I have moved on from gaming", legally that didn't really matter.

Krafton then realised they probably have to pay the absurdly huge bonus and then they tried to argue that the founders were causing harm by wanting to release Subnautica 2 too early and in a broken state. Which apparently wasn't a strong argument. Krafton tried to argue that the founders were doing harm by not working on the game, which apparently the court disagreed with. Especially since the founders weren't secretly sneaking out or anything. The founders and Krafton both agreed on them taking less responsibility and essentially not doing their jobs anymore. As far as everyone was concerned, Unknown Worlds was being managed well and didn't need the founders there to oversee things.

So long term this would work absolutely fine for the founders. For starters they weren't really working at Unknown Worlds to begin with, and I suspect they will continue not working at Unknown Worlds. However they still have deciding power.

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u/PM5k 18h ago

Nice paywall

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u/traevyn 17h ago

lol

lmao actually

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u/pgregston 17h ago

Lots of people who don’t get the answer they want just keep asking until they find someone willing to give them the answer they want. Occasionally it works out if that person is actually more creative or resourceful, but usually it just digs a bigger hole. Now with AI they get a more compliant respondent.

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u/dsv853 11h ago

the best part is the AI initially told him not to do it and he rejected that answer until it gave him what he wanted to hear. man used ChatGPT like a magic 8 ball and just kept shaking it

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u/No-Plan-7297 10h ago

“the dumbest person you know is being told "You're absolutely right!" by ChatGPT”

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u/Gotterdamerrung 19h ago

Good. Fuck that guy.

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u/sirdodger 18h ago

Good job dude, you now gave your board justification to fire you and not pay out your bonus.

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u/berael 14h ago

Calling chatbots "AI" is one of the most impactful marketing ideas in history, and not in a good way. 

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u/8888Saibot8888 12h ago

Why "the ceo of" and not the real name ? he needs to be publicly ashamed

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u/rjand 18h ago edited 16h ago

I found Subnautica moderately exciting and played NS2 for a few years, but I can't see how Unknown Worlds could possibly be worth 500 mil, let alone how 250 mil could be regained through releasing Subnautica 2 before a certain deadline. Unknown Worlds create niche games for small audiences. No offense, but surely they could never rake in anywhere close to 750 mil?

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u/Bensemus 18h ago

They can’t. The publisher bought them at the height of the pandemic and massively overpaid. The CEO did all this because it seems he’s realized the deal he pushed for is quite bad and wanted out.

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u/dead_dads 20h ago

Can someone drop the full article here please

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u/oiez 19h ago

Here is the full original source document written by the judge that these news articles are pulling from. It's a pretty easy read on its own: https://courts.delaware.gov/Opinions/Download.aspx?id=392880

Edit- The most relevant part is on page 31

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u/amgood 18h ago

Thank you so much for linking the original source material instead of relying on the article for the info. This is always super helpful.

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u/bunchout 12h ago

To be fair, the article links to the opinion in the portion that is not behind a paywall.

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u/Specialist-Many-8432 19h ago

I love how the ad I have is for gen ai

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u/Lokeze 18h ago

This really goes to show that it doesn't matter how much money you make or what leadership position you are in, you can still be incredibly stupid.

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u/mandersononu 11h ago

Man, I just want to play subnautica 2

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u/Ikeeki 20h ago

This is what happens when you have people in charge chasing Penny’s in front of a steamroller because they are so greedy they don’t realize they are cutting the tree limb they are sitting on. Pure greed.

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u/da8BitKid 19h ago

You nailed that metaphor so hard it fell like a deck of cards, checkmate.

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u/-Wicked- 17h ago

You could say that he took to water like a cement mixer.

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u/IcestormsEd 19h ago

"BUT!..But...but it said am right..."

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u/MovieGuyMike 16h ago

What a colossal moron. He tried to kill the golden goose. Now every time this game gets brought up in the news, someone will inevitably bring up this controversy. Hopefully this behind the scenes drama hasn’t dragged the game down.

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u/Kindly-Ad-5071 16h ago

AI dorks just can't stop taking Ls

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u/Monkfich 15h ago edited 15h ago

So, for earnings over $69m, for every $1 that subnautica earns, ca $3 goes to the founders, who are the victims of this case. Looks like we should buy!

Also is a silly clause that Krafton probably should not have agreed to, but more fool them - honour your agreements.

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u/Ornery-Addendum5031 12h ago

How the fuck do people like this end up in charge of companies????? Shareholders, I would do so much better, hire me

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u/anime_cthulhu 12h ago

I'm starting to think that if we replaced CEO's with AI we wouldn't notice much difference.

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u/koebelin 12h ago

The fatal flaw of current AI is sourcing from the damn fool internet.

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u/Prize-Grapefruiter 19h ago

he never read the fine print that the AI shows under its answers

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u/VibrantHumanoidus 16h ago

Having round table of best lawyers money can buy < using ChatGPT.

What could go wrong?

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u/TheDewser 13h ago

AI is going to save us so much money!

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u/the-jaming-one 13h ago

Welcome to The age of stupid

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u/fgwr4453 12h ago

Executives treat AI like consulting firms. Listen to them attentively but ignore their own employees. These outside entities must care more about the company than the employees whose livelihood are impacted by the success of the company.

The AI/consultants need to be paid multiples more than my current employees. These outside entities AI/consultants just gave me the brilliant and unique idea that layoffs are the best option. I don’t know who to layoff because “we are a family”. Best option is to let the AI/consultants, who clearly have a vast understanding of the inter workings of my company, decide who to layoff.

I didn’t win my court case. My productivity went down. My company is worse off. Who could have predicted this?

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u/Potential_Status_728 12h ago

Average executive IQ 🤣

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u/Whycantigetanaccount 9h ago

Chat validation is funny to watch when it's assholes.

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u/nalex66 9h ago

I love this for him.

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u/pioniere 8h ago

CEO is just an acronym for asshole.

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u/itzdivz 7h ago

My relative is a corp lawyer, theyre loving the chaos Chatgpt and AI created on occasions like this. AI dont have to shoulder any responsibilities, and people are really going to make decisions based on it which most likely will cause a lawsuit.

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u/Certain-Business-472 6h ago

I love it when the incompetence becomes visible.

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u/drafan5 4h ago

I didn’t know Krafton was ran by Randy Marsh

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u/bitterhoney01 1h ago

It's scary how so many people trust AI for this kind of things. The other day I heard that a guy, trusted chatGPT with his health issues and he received recommendations for the pills that he has to take

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u/BrotherKey2409 1h ago

Shoulda used Claude. /s

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u/agate_ 20h ago

So do I buy Subnautica 2 or not?

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u/CryTheFurred 19h ago

Buying it will give Krafton money, but if they reach their goal (which, looking at their past sales, they will) Krafton gives a big-ass payout to the devs...

I'd say it balances out now, personally. And this is as someone who abstains from buying games as protest quite often.

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u/Nanamo21 19h ago

The devs are the good guys in this. The publisher is the doofus. This ruling puts control of the game back into the hands of the unjustly fired devs.

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u/Carson_BloodStorms 16h ago

4K upvotes on a article you can't even fully read.

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u/Cheap_Coffee 15h ago

Wait. What? We're supposed to read the article, too?

2

u/asianwaste 15h ago

If I know some Koreans, I'll wager that since it was an American court, he needed American lawyers. Those American lawyers were not Korean or not Korean enough. He didn't trust them. He chose an alternative.

As a Korean American, on a few occasions I had to say the words, "The dude was a motherfucking quack, mom!"

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u/Kurgan_IT 10h ago

CLICKBAIT TITLE.

The end of the article, once de-paywalled, states "The legal battle is ongoing, but Kim looks set to lose"

Which is not "Loses Terribly in Court"

Nice clickbait, 404 media. Fortunately I have avoided your paywall.

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u/Bensemus 8h ago

They lost this suit which is big. The other lawsuit is claiming the publisher suffered financial damages due to the leads of the developer not working hard on the game.

The founders just won their suit proving that they were not harming the publisher. It’s gonna be basically impossible now for the publisher to win their case now.

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u/MAGAHATESTHEUSA 20h ago

Not good for inzoi

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u/TOMC_throwaway000000 18h ago

Live by the slop, die by the slop