AI Revolution in Animation and Gaming Sparks Innovation and Legal Debates at Bengaluru GAFX 2026
The inaugural day of Bengaluru GAFX 2026, the premier conference and exhibition for animation, visual effects, gaming, comics, and extended reality (XR), has highlighted how artificial intelligence is fundamentally reshaping creative workflows. Industry leaders gathered to explore AI's expanding role in conceptualization, rapid iterations, and immersive design, noting its integration into production engines is accelerating. However, this technological advancement comes with significant concerns over originality and intellectual property, prompting studios to adopt AI cautiously as they balance innovation with legal and creative safeguards.
Industry Voices: Cautious Adoption and Creative Evolution
Gauri Sriram, co-founder of Studio 56 Animation, emphasized that client perception is rapidly evolving. "Clients today are increasingly cautious about AI usage, and studios often have to explain how and where AI is used in a project. AI is the prompt you give, but it can never replace human creativity. Professionals must evolve and learn to use it as a tool. We are still exploring possibilities for AI adoption," she stated, underscoring the need for transparency and human oversight.
Niranjan Sirsikar, founder-director of KANISH Technologies, echoed this sentiment, highlighting unresolved legal issues. "IP protection and clarity on usage will be critical. There is still confusion around originality and ownership of content, which is one reason some players are hesitant. Clear guidelines, especially on IP ownership, will be important," he explained, pointing to the industry's demand for regulatory frameworks.
Manasava Bhargava, co-founder and CEO of Teerva Studios, focused on AI's efficiency benefits. "A small, AI-enabled team can now deliver the output of a much larger studio. It's not about replacing artists, but redistributing creative power, reducing timelines and enabling new storytelling," he noted, illustrating how AI is democratizing creative processes.
Karnataka's Strategic Push: AI Policy and Skilling Initiatives
Amid these industry debates, the Karnataka government is advancing toward a structured AI framework. Pramod Patil, general manager at Karnataka Innovation and Technology Society (KITS), revealed that a committee has been constituted to draft a dedicated AI policy covering development, deployment, and ecosystem support. This initiative aims to provide clarity and foster responsible AI adoption across sectors.
Deputy Chief Minister DK Shivakumar highlighted Karnataka's progress in AI skilling, stating, "Compared to AI-related training and activities in 2022, Karnataka in 2023–24 has trained 6.5 lakh employees in AI skills, reflecting a 9% increase." He added that the state's film industry has achieved international standards, with productions competing globally. Karnataka aims to train 50,000 students in the AVGC-XR sector by 2028 and generate over 30,000 high-quality jobs, signaling a robust commitment to nurturing talent.
Blending Technology with Tradition: The 'KalaVerse' Initiative
The event also showcased 'KalaVerse', an innovative platform that blends technology with native heritage. This initiative features traditional art forms such as Yakshagana and other Karnataka folklore, along with crafts, demonstrating their potential integration into animation, gaming, immersive media, and digital storytelling. By preserving cultural heritage through digital means, 'KalaVerse' exemplifies how technology can enhance and sustain traditional arts.
Chief Minister Siddaramaiah remarked, "In the era of the digital revolution, immersive media, streaming platforms, e-sports, and extended reality, GAFX is shaping human stories, culture, education, and government experiences. We took steps to integrate AVGC-XR technologies in education, use them in medical training, and digitally preserve Karnataka's history and cultural heritage for future generations."
IT-BT Minister Priyank Kharge added, "The state government has been working on a blueprint for responsible use of AI in governance, health, agriculture, education, and digital infrastructure, with clear objectives to guide its implementation. On gaming, Karnataka is already the only state funding original IP in animation and games, supporting skill development, B2B opportunities, and e-sports, while the policies continue to evolve for even greater clarity and impact."
As Bengaluru GAFX 2026 continues, the discussions underscore a pivotal moment for the animation and gaming industries. AI's transformative potential is undeniable, but its integration must be navigated with careful attention to intellectual property, ethical guidelines, and human creativity. With Karnataka leading in policy development and skilling initiatives, the future of AI in creative sectors appears poised for responsible and innovative growth.



