Postal: Bullet Paradise developers Goonswarm have fiercely denied the accusations that they used generative AI to create elements of the game… and announced that they are closing down.

In a post on Xitter, sent to RPS after we requested comment on the story below, the developers write that “our studio was mistakenly accused of using AI-generated art in our games, and every attempt to clarify our work only escalated the situation”. They say they’ve received a lot of insults and threats as a consequence.

“We’re truly sorry for the artists who put their soul into this and supported our studio, only to face false AI accusation,” the statement continues. “It’s tough to pour so much energy into a game and end up caught in the middle of an AI war by accident. We’ve decided to shut down the studio and end all future activities.”

The statement doesn’t mention the obvious financial impact of having a publisher cancel your videogame project. I’ll ask for more clarification.