Epic Games to Update EULA, Allowing AI Training on Unreal Engine and MetaHuman Outputs

Epic Games is set to amend its End User License Agreement (EULA) to remove current restrictions on training artificial intelligence models using outputs from Unreal Engine and MetaHuman. This upcoming policy shift was confirmed by Epic CEO Tim Sweeney in a post on X, as reported by Game Developer.

The Policy Shift

Currently, the EULA prohibits using Unreal Engine or MetaHuman outputs for AI training purposes. Sweeney clarified that while Epic is working to eliminate this restriction from their terms, the final decision will ultimately rest with individual developers. “Each game using these tools is released under terms of the developers’ choosing which can allow or restrict AI training,” Sweeney noted. This change aligns with Epic’s broader pivot toward an “AI-first” development strategy, marking a departure from the company’s previous stance that strictly prohibited the use of its engine to train AI systems.

Why it matters

For developers and players, this policy update represents a significant shift in how intellectual property generated within Unreal Engine can be utilized. By decentralizing the decision-making process to individual creators, Epic is allowing developers to define whether their game assets can be harvested to train future AI models. Players should be aware that the future availability of mods, custom content, or even certain fan-made projects may depend on the specific license terms selected by a game’s developer. As the industry moves toward deeper AI integration, this change highlights a transition where the responsibility for AI usage policies is being passed from the engine creator down to the studio level.

Context and Controversy

Sweeney’s announcement came during a wider discussion regarding Epic’s stance on AI. The CEO addressed comparisons made by Kotaku between Epic’s internal AI development and the company’s aggressive protection of its intellectual property, specifically regarding unauthorized recreations of Fortnite. Sweeney maintained that his company’s legal actions are strictly matters of copyright and licensing rather than a hypocritical stance on technology. Additionally, Sweeney has recently utilized social media to openly criticize Valve’s policy requiring developers to include AI disclosures on Steam store pages, labeling the requirement as “abhorrent.” Epic has not yet provided further comment on the official timeline for the EULA update.