Epic Games has reportedly delayed an unannounced Disney shooter featuring Marvel and Star Wars characters beyond an internal March 2027 release target. The development team has also been instructed to adopt AI-generated code and artwork, according to reporting by Bloomberg’s Jason Schreier.
Developers have not been given a new target date. Epic has confirmed a broader shift toward AI-accelerated development but has not officially announced the shooter’s release schedule or detailed its internal production instructions.
Epic’s Disney shooter was behind schedule
The studio reportedly underestimated how much staff and development time the project needed. The release target was internal, not a date announced to players.
The game is connected to Epic’s wider partnership with Disney. In February 2024, Disney announced a $1.5 billion investment for an equity stake in Epic alongside plans for a new entertainment universe connected to Fortnite. The partnership includes properties such as Marvel and Star Wars. The investment was not announced as the budget for this particular shooter.
Neither company has revealed the game’s title or gameplay. The report does not establish that the AI-first directive caused the delay.
Developers reportedly instructed to generate code and art with AI
According to an internal message reviewed by Bloomberg, one of the game’s directors instructed staff to stop writing code by hand and use AI workflows to produce artwork. The team was directed toward tools including Anthropic’s Claude, with human developers managing and guiding the output.
The instructions reportedly surprised some employees. Bloomberg says developers questioned how errors in generated work would be handled, while others doubted the approach would deliver the improvements Epic expected.
Epic communications director Jake Jones confirmed that the company is embracing AI-accelerated development, while maintaining that Epic’s developers remain responsible for its creative direction.
CEO Tim Sweeney also described a wider reorganization intended to increase AI adoption. He said the aim was to help employees produce more and better work, rather than maintain the same output with fewer people. Epic wants the resulting improvements to benefit teams using Unreal Engine beyond its own studios.
That contrasts with Rockstar North’s approach to GTA VI. During a visit by Kinda Funny Games, co-studio head Rob Nelson reportedly said that generative AI had not been used in the game’s development. The statements concern development tools, not conventional AI systems used in gameplay.
Epic’s AI push follows more than 1,000 layoffs
The new production direction follows Epic’s 24 March 2026 announcement that it was cutting more than 1,000 jobs. At the time, Sweeney attributed the decision to declining Fortnite engagement and financial pressure, explicitly stating that the layoffs were not related to AI.
GTR analysis: Generating code or artwork more quickly does not eliminate the work of integration, debugging or quality assurance. With the Disney shooter reportedly behind its internal schedule, the relevant question is whether those later stages also become faster. Epic has not provided productivity measurements for this project.
Sources: Jason Schreier / Bloomberg, republished by the Los Angeles Times; Disney — Epic Games partnership announcement; Epic Games — March 2026 layoffs; Tim Sweeney’s statement. Technical context and analysis: GameTechReport.