Melding AI with cultural intelligence: How Yoozoo is winning

COVID-19 lockdowns have accelerated tech developments within the gaming industry as more gamers flock online. In a world of increased user engagement, building an immersive virtual world for gamers requires a special kind of intelligence.

Young gamers these days are likely unaware of a bygone era when video games had limited interactivity in terms of what non-player characters (NPCs) and environments could do.

Artificial intelligence (AI) has since transformed that gaming experience by making games more interactive, immersive, and customisable. With developments in AI programming, game environments have become algorithmically generated, creating virtually limitless possibilities for replay. Non-player characters have also gained greater flexibility and realism in responding to players’ decisions.

YOOZOO Games, a global interactive entertainment company headquartered in Shanghai, has big plans to disrupt the global gaming industry with AI that is built by talent with a keen awareness of local cultures and preferences.

The company’s current portfolio of role-playing (RPGs) and massively multiplayer online games (MMOs) already brings in over S$627 million (US$453 million) in revenue, and the global gaming industry is forecast to top S$221 billion (US$159 billion) in 2020. There are ripe pickings awaiting AI applications that bring gaming to the next level.

The disruptive power of AI

From customer service to social media, journey mapping to video games, AI is integral to helping the modern business adapt responsively to the needs of users.

YOOZOO is gunning for the creative application of AI to enhance the users’ interactive media experience. For example, in their chart-topping mobile multiplayer action RPG Legacy of Discord — Furious Wings, players have the option of engaging AI to complete certain parts of gameplay on their behalf. This improves the experience for those players who enjoy the visual and entertainment value of the game’s storyline and graphics but lack the time to invest in “levelling” their in-game characters. Enhancing the player’s experience through creative application of AI is where Singapore research institutes come in. “We are engaging local [Singaporean] institutes such as Nanyang Technological University, Agency for Science, Technology and Research, and the National University of Singapore on various topics ranging from virtual assistants to human-like non-player characters, and from gamification of work¹ to virtual worlds,” says Dr Goh Chi Keong, AI Technical Director at YOOZOO Games. 

The brains behind AI — the importance of talent

But the real secret behind YOOZOO’s successful application of AI? It is as much about cultural understanding as it is about technology.

With over half the company’s revenue coming from outside China, YOOZOO shares that its wins in reaching regional markets comes from hiring the right people who marry expertise in AI with a keen grasp of unique user habits and cultures in particular markets.

Action RPGs traditionally underperform in Europe and America where strategy games are preferred, but Legacy of Discord – Furious Wings has bucked this trend. By infusing localisation with AI technical expertise, Legacy of Discord has done something few action RPGs have done – become the top-grossing mobile game in United States of America, United Kingdom and Germany, where strategy games, gambling games and casual games dominate. This game has performed exceptionally well due to YOOZOO’s extensive localisation. Legacy of Discord is available in 16 different languages in more than 200 countries worldwide, with customised in-game events and plot and art design adaptations to better suit local cultures in different regions.

YOOZOO’s new AI Innovation Lab in Singapore aims to recruit employees who not only have top-quality technical training but also a deep understanding of local and regional culture and user preferences. This fits into YOOZOO’s “global-local” vision, which focuses on adapting products to the unique needs of a local or regional market.

YOOZOO is planning for the long-term. AI needs to be part of the corporate DNA and every employee needs to be comfortable exploiting AI to bring productivity and creativity to the next level. Now, the infusion of AI goes beyond the products and into the actual daily routine with YOOZOO’s own digital assistants for asset generation and employee helpdesk going into service.

“Singapore is pivotal to bridging the gap between East and West, in terms of content localisation and future game development,” says Chris Tan, General Manager of YOOZOO’s Singapore office. “By setting up an AI Innovation Lab here, we are able to not only train potential collaborators but have first access to the cream of the crop. Good educational resources, a multicultural and open society, and the support from the government have made Singapore a top choice for us to find talent.”

Southeast Asia – the next frontier

Beyond being a magnet for top talent – INSEAD’s Global Talent Competitiveness Index has ranked Singapore top in Asia-Pacific for attracting and fostering talent for six years running – Singapore is key to exploring new opportunities in Southeast Asia (SEA).

According to Ms Qin Liu, Vice-President of YOOZOO, significant markets such as the US, China and Japan will likely start slowing down as they reach saturation. As demand from traditional markets stabilises, YOOZOO is looking to regions like SEA — anticipated to become the fourth-largest economy globally in a decade — for continued growth. Asia Pacific already accounts for 50 per cent of global game market value today, while SEA is home to the fastest growing mobile games market. Mobile game revenue in SEA hit S$6 billion (US$4.3 billion) in 2019, a remarkable increase of more than 13 per cent from the year before, due to the growing ease of internet access and the affordability of mobile devices across the region.

Singapore’s excellent connectivity to the region allows for more efficient communication and coordination between YOOZOO’s regional offices, allowing the company to move into new regional opportunities quickly.

“YOOZOO Singapore is backed by technical, process and standard support from the Shanghai headquarters, with the experience of the distribution team in various countries,” says Mr Tan. “In collaboration with the offices in Germany, Japan, Korea, India, Philippines, Thailand and Turkey, YOOZOO Singapore can efficiently accumulate regional talents, partners, products and other resources, expanding the regional publishing advantages and responding faster to the business needs in Southeast Asia.”

Apart from the ease of regional access, Singapore’s pro-business policies provide another big bonus to using the city-state as a base to scale across SEA. According to the World Bank, Singapore ranks second worldwide for the ease of doing business, which takes into account factors such as the regulatory frameworks and the financial and infrastructural support in place. The country’s excellent intellectual property protection, ranked top in the region, will also ensure that novel AI applications that YOOZOO pursues will obtain the protection they deserve.

“More and more gaming companies are expanding into Indonesia, Malaysia, Singapore, Thailand, Vietnam and the Philippines. Among these, the business environment [in Singapore] is also the most conducive, with strong support from several government agencies,” says Mr Tan.

Levelling up for the world

Playing time has increased dramatically since pandemic lockdowns began, and this trend of digital engagement is set to continue as the world adapts to a post-COVID-19 reality. With its new AI Innovation Lab in place, YOOZOO is already looking beyond gaming. It is currently engaging players in the Singapore healthcare community, as well as, next-generation athletes in China to develop AI solutions for primary healthcare and community wellness. It is also engaging players in the Singapore healthcare and education communities to develop AI solutions for the world that is adapting to COVID-19. With their forward-thinking approach to AI applications and the support of the region’s talent, YOOZOO looks set to break new ground both in the region and the world.

¹ Gamification is the process of integrating game-like mechanics into an existing platform — for instance, corporate training — to increase motivation, productivity and engagement.