TuSimple became CreateAI and pivoted from self-driving trucks to AI for games

Formerly a self-driving trucking company straddling the US and China, now a generative-AI company for video games and animation.

Autonomous-driving AI capabilities can seed generative AI that cuts triple-A game production costs by 70%, led by a game based on Jin Yong's novels.

In 2021 Chen began developing an animated feature based on Jin Yong's martial arts novels. In August 2024, still named TuSimple, the company announced a partnership with Shanghai Three Body Animation and a new business segment for generative AI in games and animation.

TuSimple lost $500,000 in the first three quarters of 2023 while spending $164.4M on research and development, and was delisted from Nasdaq in February 2024. Co-founder Hou, who claimed 29.7% of the shares, opposed the pivot and called for liquidation.

On 19 December 2024 the company said it had rebranded as CreateAI, with a Jin Yong game due in initial form in 2026. CEO Cheng Lu expects break-even in 2026 and 'several hundred million' in revenue in 2027, after the full version launches.

The self-driving sector was winnowing, with GM folding its Cruise robotaxi business the same month.

CEO Cheng said shareholders saw value in the transformation and wanted to move in this direction.

The company argued its autonomous-driving AI gave it a base for generative AI, and co-founder Chen had worked since 2021 on a Jin Yong animated feature.

When a sector shakes out, a company can reuse its AI team in a new industry, but a founder who disagrees can still call for liquidation instead.

As of 19 December 2024, CreateAI was planning a shareholders meeting, expected to break even in 2026 and was recruiting toward 500 staff. Co-founder Hou said he would withhold or oppose support. CEO Cheng said U.S. chip limits posed no issues because it used a mix of China and non-China cloud providers.