Goodbye Bots: Eric Schmidt Supports Altera's AI Game-Playing Agents

AI-Powered Companions Revolutionizing Gaming: Meet Altera

Get ready for a new wave of gaming experiences as AI-powered players make their debut. Enter Altera, a promising startup committed to developing cutting-edge AI agents for immersive gameplay.

On Wednesday, Altera announced it has raised $9 million in an oversubscribed seed funding round, co-led by First Spark Ventures (founded by Eric Schmidt) and Patron (co-founded by industry veterans from Riot Games).

This latest funding follows a successful pre-seed round in January, during which Altera secured $2 million from a16z SPEEDRUN and other investors. With the new capital, Altera aims to expand its team of scientists and engineers to further enhance product development and growth initiatives.

While the earlier phase of AI development focused on simple bots, recent advancements have seen the rise of AI “copilots” using generative technology to tackle increasingly complex queries. Now, we are transitioning to AI agents that embody more human-like qualities, enhancing interaction and responsiveness in real-world scenarios.

One of the first applications for these innovative agents is within the gaming industry. For instance, the Voyager project leverages the Minedojo framework to create AI agents for Minecraft. Altera is also diving into this space with its debut product: an AI agent designed to play Minecraft "just like a friend" (join the waitlist to get access).

But this is just the beginning for Altera. The company envisions creating expansive multi-agent game worlds that will unlock exciting possibilities in entertainment, market research, and beyond. What comes next? The potential for “robot dreams,” according to Altera.

“Creating human-like qualities in our AI agents is key to evolving them from copilots to true collaborators,” Altera emphasizes, hinting at a future where digital humans take on physical form.

Leading Altera is Robert Yang, a neuroscientist and former MIT assistant professor. In December 2023, Yang, along with co-founders Andrew Ahn, Nico Christie, and Shuying Luo, left their research lab to focus on developing AI agents—dubbed “AI buddies”—that possess social-emotional intelligence, allowing them to make their own decisions and effectively engage with players.

“As a neuroscientist, my lifelong dream has been to create a digital human that pushes the boundaries of what AI can achieve,” Yang shared. He stresses a pro-human ethos, stating, “We aim to develop agents that enhance human experience, not replace it.”

Altera’s approach is refreshingly consumer-centric, standing in contrast to the prevailing trend in AI that emphasizes enterprise solutions for efficiency. “We see immense potential in the gaming sector,” Yang explained. “This focus enables rapid iteration, effective data collection, and a product tailored for eager users.”

Altera's AI agents replicate human gameplay in Minecraft, performing various tasks such as building, trading, and combat. Unlike traditional NPCs, these agents possess the autonomy to make choices, which can add unique dynamics to gameplay, making it either thrilling or challenging based on individual play styles.

In a demo, Yang showcases an intriguing scenario where he prompts the AI agent to engage in combat, only to trigger its cautious response: “I don’t want any trouble; let’s find a peaceful solution.” As Yang pushes the agent's buttons, it ultimately defends itself, adding a layer of unpredictability to the gaming experience.

Altera is currently testing this technology with 750 Minecraft players, aiming for an official launch later this summer through a desktop app that will feature both free and premium options.

While Minecraft serves as an impressive starting point, Altera intends to expand its AI agents into various video games and digital realms. Yang notes, “Our agents execute actions as code, making them adaptable to any game environment.” Future integrations may include popular titles like Stardew Valley, along with close collaborations with game developers through SDKs.

With significant investments from First Spark and Patron, along with notable endorsements from prominent investors—including Alumni Ventures, Benchmark partner Mitch Lasky, and Duolingo’s Bob Meese—Altera demonstrates robust industry confidence in its mission.

Partner Aaron Sisto from First Spark Ventures remarked, “There’s a tremendous opportunity for AI companions to enrich our lives. However, most existing AI lacks essential qualities like empathy and personal goals, hindering genuine connections with users. Altera’s team is navigating this frontier using their expertise in neuroscience and LLMs to create unique, engaging AI agents that resonate across platforms."