Razer CEO Bets Big on AI, But Gamers Aren't Buying It

At CES, Razer CEO Min-Liang Tan unveiled the company's aggressive push into artificial intelligence, a move that appears to put him directly at odds with the gaming community he claims to serve. The centerpiece was Project Ava, a holographic anime character in a jar, powered by Elon Musk's Grok AI. Despite taking $20 reservations, Tan offered few concrete answers on the ethical implications, particularly given Grok's association with deepfake scandals.

When pressed on whether products like Ava could lead to unhealthy attachments—a documented issue with other AI chatbots—Tan was unconvincing. He suggested such outcomes weren't the goal, but admitted, "It might happen. Who knows?"

This disconnect defines Razer's current dilemma. The company is investing $600 million into AI, hiring 150 engineers, and branding AI as "the future of gaming." Yet its core audience is openly hostile. Comment sections on Razer's own social media posts are filled with gamer skepticism and anger, fueled by industry layoffs and fears that AI will degrade game quality and replace human artists.

Tan argues gamers are only against low-effort "AI slop." He positions Razer's tools, like an AI QA companion for developers, as ways to augment human creativity, not replace it. But the company's flashy consumer concepts, like the AI-powered Ava and Project Motoko headphones, tell a different story—one of AI companions and persistent digital assistants.

The CEO's confidence rests on a belief that AI's value will become self-evident. But with hardware costs rising and a user base already weary of endless subscriptions, Razer's big bet is far from a sure thing. Tan is banking on a future that gamers, for now, are loudly rejecting.