How AI is changing the way video games are made. Plus, how one VC uses it to find promising startups before its competitors catch up.
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IN FOCUS

  • AI game creation tools are going straight to players
  • How AI is changing the way VCs find startups
  • Revisit our visual piece on Southeast Asia's efforts to build physical AI

Hello reader,

When I was in school, I was hooked on a video game called Gods. That was another lifetime, when computers were bulky, screens were mostly black and white, and graphics were very basic. The game consumed many of my weekends because I could not get past the final Guardian, a snake-like creature emerging from a giant skeletal head in the last stage.

I eventually gave up and, for the most part, stopped playing video games altogether.

Fast-forward to 20 years later, it is fascinating to see how AI is changing the way games are made and played.

In today's first top story, my colleague Glenn looks at how AI companies are taking game creation straight to the players.

Singapore-based PixVerse is letting users create games by telling its AI model what they want. Players can describe a world, and the AI builds the game for them. Roblox is testing a similar idea with Build, a mobile app that lets users turn text prompts into playable games.

It's a big shift, but there's a catch. Making a game easy to create does not necessarily make it fun to play.

Gaming experts say AI could flood platforms with games while giving players little reason to return to them. The bigger question is whether people will pay for these games or even spend enough time playing them.

Also, do check out our insights piece on how a US-based VC has built its own AI system to spot the right startups and founders for investment. Not only does the tool save its team more than 10 hours a week, it also makes the VC more agile in finding prospective investees.

Making something easier with AI is one thing. Making it genuinely better is another.

Samreen Ahmad, journalist


TOP STORIES

1️⃣ Write a prompt, create a video game. Will players bite?

AI can already generate songs and movies - why not video games as well? That's what companies like Roblox and PixVerse want to happen - they're skipping the developers and letting players create their own games just by giving prompts.

But industry experts point out that AI-generated games could be one-and-done titles rather than games that people return to and spend money on, making these tools' long-term viability uncertain.

2️⃣ This VC uses AI to spot startups before the data catches up

US-based OM Venture Capital's AI platform, OMVision, reads thousands of pieces of information every week, connects them to the right companies and founders, and then ranks them based on how well they fit the VC's investment thesis. Instead of spending hours deciding which newsletters, databases, and news stories to read, its investment team gets a shortlist of companies worth looking at.

Ben Hoxie and Marc Palet, two of the VC firm's principals, walk us through how OMVision helps the team stay ahead of the curve.


FROM OUR ARCHIVES

The startups behind Southeast Asia's physical AI push

The funding race for physical AI is gathering pace. Xpeng's robotics business has just raised more than US$900 million, valuing the unit at over US$6.3 billion.

What is interesting is that Xpeng did not start out in robotics. It began as an electric vehicle maker before applying its experience in autonomous driving, hardware, and manufacturing to humanoid robots.

It makes our recent look at the space timely. My colleague Glenn visually mapped 35 physical AI startups in Southeast Asia across six categories, from robotics and autonomous machines to the software and data systems that help them operate.

Together, these startups have raised nearly half a billion in funding so far. Globally, robotics and physical AI startups raised US$16.3 billion in the first quarter of 2026 alone.


TRENDING NEWS

1️⃣ Nvidia in talks to invest in Perplexity at $30b valuation

Perplexity was previously valued at US$20 billion following a US$200 million round in September 2025. Earlier this year, CEO Aravind Srinivas said that the company plans to go public in 2028.

2️⃣Digital Realty gets provisional 50MW in Singapore

The US-based data center will develop a new facility at JTC's low-carbon data center park on Jurong Island. It will become Digital Realty's fourth data center in the country.

3️⃣ Revolut forms Singapore advisory board

The board's members are Teo Ser Luck, a former minister of state for manpower in Singapore; Charles Wong, previously the founding CEO of GXS Bank; and Yvonne Aw, who has held roles in various financial service providers such as DBS Bank and Allianz Asia Pacific.

4️⃣ Indian drone startup Airbound raises $37m in series A

Airbound also signed an agreement with the Indian state of Andhra Pradesh to expand its autonomous aircraft delivery services. Participants of the fundraise include DoorDash, Lightspeed, and Greenoaks.

5️⃣ Stripe adds Singapore payment tools for global sales

The rollout includes Stripe Managed Payments, which lets users facilitate digital sales in 195 countries without needing to set up local entities. Stripe will also add support for various Asian payment options such as Thailand's PromptPay, Vietnam's MoMo, and the Philippines' GCash.


START DISTRIBUTING BEYOND YOUR PITCHES

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Now called Startup Booth, the exhibition space serves as your high-velocity base to move beyond the pitch deck and into the production stacks of 1,500 decision-makers from companies like HSBC, Canva, Ferrero, and ComfortDelGro. For just US$750, you secure an exhibition slot for two days and two conference passes to bridge the gap from startup ambition to real-world results.

Don't just showcase your product; start your distribution journey where Asia's tech future is built. Find out more here.


PRESS PEEKS

The following press releases were published as they were received, without any editing from the Tech in Asia team. You, too, can publish your own press release on our site by simply filling out this form. Our team will get back to you by the next business day.

  • Assemblr EDU - Indonesia's education ministry partners with Assemblr and Samsung for nationwide visual coding championship: ImajiNation 2026 aims to engage 10,000 students and 1,000 teachers from more than 2,000 schools across Indonesia's 38 provinces.

EVENTS HAPPENING

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Can AI communications scale?

Can AI communications scale?

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Get your Tech in Asia Conference 2026 pass to unlock access and register your interest for the roundtable.


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