Epic Games has reportedly delayed an upcoming Disney video game featuring Marvel and Star Wars characters as the company embraces an aggressive artificial intelligence strategy.
The unannounced shooter was originally expected to launch in March 2027. However, development has fallen behind schedule, and employees have reportedly been instructed to adopt an “AI-first” approach to completing the project.
According to Bloomberg, the changes include controversial directives concerning computer programming and artwork. Meanwhile, Epic Games CEO Tim Sweeney has publicly expressed his enthusiasm for accelerating AI adoption.
The developments raise questions about how much of Disney’s upcoming gaming experience will be created through artificial intelligence rather than traditional development methods.
Disney’s Marvel and Star Wars Shooter Faces Delays
Bloomberg’s Jason Schreier reports that Epic’s upcoming Disney collaboration has been delayed indefinitely, with no replacement release date communicated to employees.
The shooter reportedly features characters from Marvel and Star Wars, bringing together two of Disney’s most recognizable entertainment franchises.
Skywalker Week from Fornite – YouTube, Fortnite
The project is connected to a broader partnership announced in February 2024, when Disney committed $1.5 billion to Epic Games. That agreement envisioned an expansive entertainment universe connected to Fortnite, allowing players to interact with Disney properties through gaming and other experiences.
However, the reported development difficulties suggest delivering that ambitious vision has proven more complicated than expected.
Bloomberg attributes the delays partly to slower-than-anticipated progress and insufficient staffing. Epic also laid off approximately 1,000 employees earlier this year.
Now, the company is turning toward artificial intelligence in an effort to accelerate development.
‘No More Hand-Written Code’
According to Bloomberg, one of the project’s directors informed employees that development would transition toward AI-generated programming.
“No more hand-written code,” the director reportedly wrote in an internal memo.
The same communication indicated that artwork would be “generated with full AI workflows.”
Developers were reportedly directed to use tools including Anthropic’s Claude, with human employees overseeing and guiding the resulting work.
Spider-Man in Fortnite – Fortnite, YouTube
The announcement reportedly surprised some employees, particularly given the dramatic changes to established production practices.
However, Epic’s public messaging presents a somewhat different picture.
“We’re embracing AI-accelerated development, led by Epic developers who are the visionaries and creative drivers for everything we do,” company communications director Jake Jones told Bloomberg.
That distinction is important because AI-assisted development does not necessarily mean replacing human programmers or artists. Instead, Epic appears focused on accelerating workflows while keeping developers responsible for creative decisions.
Tim Sweeney Pushes for Maximum AI Acceleration
Epic Games co-founder and CEO Tim Sweeney has publicly reinforced his company’s enthusiasm for expanding artificial intelligence throughout development. Although he did not directly address Bloomberg’s reporting, his comments appear consistent with the company’s reported direction.
His stated objective of “maximum AI acceleration” reflects a broader effort to make the technology central to Epic’s production processes.
We have a huge pivot underway here at Epic, moving developers around to retool for maximum AI acceleration.
The aim isn’t to do the same stuff with fewer people, but to enable everyone here to build MORE and BETTER stuff, and to bring the benefits to all teams using Unreal.
— Tim Sweeney (@TimSweeneyEpic) October 12, 2026
“The aim isn’t to do the same stuff with fewer people, but to enable everyone here to build MORE and BETTER stuff, and to bring the benefits to all teams using Unreal,” Sweeney wrote.
One user on X questioned whether Sweeney’s ultimate goal in pursuing AI was to take the privately owned company public.
@technosucks Our more modest aim is to survive the AI revolution, help other developers do the same, and come out on the other end making better code and content faster.
— Tim Sweeney (@TimSweeneyEpic) October 12, 2026
“Our more modest aim is to survive the AI revolution, help other developers do the same, and come out on the other end making better code and content faster,” Sweeney replied.
Will AI Improve Development or Create More Problems?
Some gamers and developers have reacted negatively to the report, expressing concerns that greater reliance on AI could produce “AI slop” riddled with coding errors and bugs.
Tim Sweeney – Lex Fridman, YouTube
READ: Halo Studios Reportedly Down to 30 Employees After Mass Layoffs
Ultimately, the degree of human involvement and oversight may determine whether Epic’s approach succeeds. Sweeney pushed back against the criticism, arguing that the technological landscape has changed dramatically over the past decade.
He said Epic’s responsibility is to “design for the present that is and the future that will soon be.”
@a_apanasik Much of the room wants it to be 2016 again, but it’s not. Our job, as the provider of tools and technology to much of the industry, is to design for the present that is and the future that will soon be. Personally I’m optimisic about it and see it as empowering for creators.
— Tim Sweeney (@TimSweeneyEpic) October 12, 2026
“Personally I’m optimisic about it and see it as empowering for creators,” he added.
For Disney, however, the immediate concern is delivering the ambitious gaming experience promised through its multibillion-dollar partnership.
AI could eventually help Epic create better games in less time, but the reported delay demonstrates that adopting new technology does not automatically solve development problems.
Whether players embrace the results will depend less on how the games are made than on whether they’re worth playing.
What do you think about Epic Games pushing for Maximum AI acceleration? Sound off and let us know!
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