Epic CEO Slams Steam’s AI Disclosure Rules as Political Posturing

WHO:

GamesIndustry.biz - Tim Sweeney, CEO of Epic Games, criticized Valve’s Steam AI disclosure policy.

IGN - Sweeney is Epic Games’ majority owner; Epic is a long-standing rival of Valve, led by Gabe Newell.

IGN - David Goldfarb, founder of The Outsiders, the developer of *Metal: Hellsinger*, and a former *Battlefield* developer, defended customers’ interest in knowing whether games use AI.

IGN - Epic Games Store offers developers more financially beneficial terms than Steam, but has struggled to dent Steam’s dominance of the PC gaming market.

WHAT:

GamesIndustry.biz - Sweeney called Valve’s AI disclosure position “a political act” and described requiring developers to make a statement that could be used against them by a “hate mob” as “abhorrent.”

IGN - Steam requires developers to disclose AI used to create content shipped with a game and consumed by players, including artwork, sound, narrative, and localization. The policy excludes AI use that produces “efficiency gains.”

GamesIndustry.biz - Sweeney said AI disclosures could drive cancel campaigns and deprive games of revenue and developers of their livelihoods unless they accept political goals. He compared the policy to requiring developers to list political affiliations or voting histories.

IGN - Goldfarb said, “Customers have a right to know what they’re buying,” and noted that customers still bought *Arc Raiders*; he said whether disclosure disadvantages small teams using AI to survive was “Jury’s out.”

IGN - Sweeney claimed Steam’s disclosures undermine developer businesses and create “a real economic cost.” Valve had not responded publicly, according to the article.

IGN - Epic said it used generative AI to create a refreshed Epic Games Launcher, describing the process as “vibe coded.”

IGN - Steam reached a concurrent-user record of 43.5 million.

WHERE:

IGN - The dispute concerns Steam and the PC gaming market.

WHEN:

IGN - The 2026 Epic AI MegaJam begins Nov 12.

IGN - The article’s embedded Unreal Engine post is dated October 22, 2026.

WHY:

GamesIndustry.biz - Sweeney argued that disclosure rules restrict developers’ free choice to adopt productive AI technology.

HOW:

IGN - Steam’s policy distinguishes AI-generated content that ships in games from AI use for efficiency gains.

(UPDATED October 27, 2026 01:31 UTC)

Epic Games CEO Tim Sweeney has condemned Steam’s rules requiring developers to disclose AI-generated content in games, calling the policy a political act that could expose studios to backlash and hurt their businesses. Steam requires disclosure for AI-created artwork, sound, stories, and localization, but not AI used for efficiency gains; *The Outsiders* founder David Goldfarb defended customers’ right to know while questioning whether the rules disadvantage small teams. The dispute comes as Epic uses generative AI in a refreshed launcher and Steam reports a record 43.5 million concurrent users, while Epic’s 2026 AI MegaJam begins Nov 12.