Jam & Tea Studios: Revolutionizing NPC Interaction with Generative AI
Jam & Tea Studios is a pioneering gaming startup on a mission to enhance player interactions with non-playable characters (NPCs) through the innovative use of generative AI. Traditionally, NPCs are driven by fixed scripts, often leading to repetitive, unrealistic, and uninspiring gameplay experiences. This scripting can limit the variety of encounters players can have. In contrast, with generative AI, players gain the ability to engage in casual conversations and interact with NPCs in unique ways, all while staying within the realm of the game's narrative.
Founded by industry veterans from Riot Games, Wizards of the Coast, and Magic: The Gathering, Jam & Tea recently unveiled its inaugural game designed to harness generative AI for enriching gameplay mechanics, content creation, dialogue, and item generation.
Introducing Retail Mage: A Unique RPG Experience
Jam & Tea’s first title, Retail Mage, is a roleplaying game that casts players as wizards working at a whimsical furniture store. The central objective is to earn five-star customer reviews by assisting shoppers. However, players can choose whether they want to fulfill their duties or create a bit of mischief. With AI-driven NPC customers and freedom for players to express themselves, the game promises a wide range of unpredictable outcomes.
In Retail Mage, players interact with customers who each present their own requests. Rather than being confined to preset dialogue options, players can input their own responses. For example, they might ask the AI to “say something charming,” prompting four distinct dialogue choices to emerge.
Competing in the AI-Powered NPC Landscape
Jam & Tea is part of a growing ecosystem of companies elevating NPCs through AI, including Artificial Agency, Inworld, and Nvidia, with Ubisoft also deploying its AI “Ghostwriter” tool for crafting NPC dialogue in various titles.
This release comes at a pivotal moment as concerns mount within the creative community about the implications of generative AI. Recently, SAG-AFTRA—the union representing voice actors and other talents—initiated a strike against major game publishers to address AI-related concerns.
Jam & Tea emphasizes its balanced approach to AI integration, aiming to safeguard the roles of artists, writers, and creative professionals in game design. M. Yichao, co-founder and chief creative officer, and former narrative designer for Guild Wars 2 and League of Legends, stated, “We believe creatives will become even more vital as we embrace this technology, delivering new experiences for players.” He further elaborated, “While AI can generate dialogue, it’s the creative vision that brings depth, emotion, and meaning to these interactions.”
Ensuring Creative Involvement and Management of AI Limitations
Creatives are integral to the development of NPCs, shaping their motivations, interests, and backstories, and providing context that helps the AI generate more relevant responses in real-time.
Despite its potential, generative AI has limitations. One of the primary concerns lies in the unpredictability of NPC behavior, which can sometimes lead to frustrating player experiences. Additionally, there is a risk of AI-generated content being incorrect or out of context (often referred to as "AI hallucination"). Yichao reassures that continuous improvements in the AI engine will help minimize these issues, supported by player feedback that helps refine character actions. The team has also instituted safeguards to avoid inappropriate interactions.
Players are encouraged to embrace their creativity, leading to spontaneous and unique experiences. For example, during playtesting, one lead engineer playfully suggested playing hide and seek with NPCs, resulting in an unexpected, emergent behavior where NPCs actively participated in the game.
“None of that was pre-programmed; it was purely based on player intent interacting with the system,” noted Aaron Farr, co-founder and CTO, who previously worked at Riot Games and Singularity 6.
Transformative Gameplay: Item Creation and Interaction
Jam & Tea's AI capabilities extend beyond dialogue generation, allowing players to engage with objects in the game world and express their intentions, like picking items up or disassembling them. This freedom enables players to create items from scratch as the game interprets their intentions and determines success rates.
In a demonstration, Yichao interacted with an NPC who wanted an antelope-shaped plush. After typing a command, he successfully retrieved a pillow from a crate, which then appeared in his inventory. If an item hasn't been designed for the game world yet, it won’t visibly materialize; instead, players will see a placeholder image.
Yichao explained, “This technology encourages open-ended creative expression. For instance, I can take an item and creatively decide to make a fish stew. While the exact image may not exist, we aim to allow players' imaginations to fill in those gaps, maximizing their creative freedom.”
Importantly, Jam & Tea asserts that all graphic assets will be crafted by real artists rather than AI.
Looking Toward Future Innovations
While Retail Mage is a relatively straightforward game at launch, Jam & Tea promises to enhance the final product beyond the demo version. The studio is also hard at work on another project, codenamed “Project Emily,” which will showcase a richer gameplay environment and more intricate storytelling.
The startup, with a lean team of eight, is poised to grow and adapt alongside advancements in AI technology, having secured $3.15 million in seed funding from London Venture Partners, with contributions from Sisu Game Ventures and 1Up Ventures. Plans for another funding round later this year are in motion.
Retail Mage will be available for $15, with additional paid content planned, initially launching on PC with ambitions for cross-platform capability in the future. The game is set for public release later this fall.
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