Level-5 Explains AI Controversy Over "Yo-kai Watch 2: Hado"; Cites Human Error & Omissions; Revised Trailer at TGS Start

We promise to avoid the direct use of AI in videos intended for users going forward.

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Level-5 Provides Detailed Explanation Amid Controversy Over AI Use—
Level-5 Provides Detailed Explanation Amid Controversy Over AI Use—"AI Allegations" in *Yo-kai Watch 2: Ha-do* Attributed to Human Error or Intentional Omissions. Revised Trailer to Be Released at the Start of TGS
  • Level-5 Provides Detailed Explanation Amid Controversy Over AI Use—
  • Level-5 Provides Detailed Explanation Amid Controversy Over AI Use—
  • Level-5 Provides Detailed Explanation Amid Controversy Over AI Use—
  • Level-5 Provides Detailed Explanation Amid Controversy Over AI Use—

Level-5 has published a statement on its official website providing a detailed explanation and an apology regarding the use of AI in the footage shown during its new online presentation, “LEVEL5 VISION 2026 II.”

Revised PV to Be Released at the Start of TGS

The company announced that it will re-upload a revised version of certain promotional videos shown at “LEVEL5 VISION 2026 II”—correcting errors caused by the use of AI as well as human errors that appeared to be AI-related—on September 17, coinciding with the start of the Tokyo Game Show 2026 (TGS2026).

Criticism at the Online New Title Announcement Event

During Level-5’s online new title presentation, “LEVEL5 VISION 2026 II: Dream,” streamed on September 10, the company unveiled a teaser PV for *Yo-kai Watch 2: Hado* and announced the release date for *Professor Layton and the New World of Steam*.However, the event drew significant criticism for the use of AI in its footage. Not only overseas but also within Japan, some pointed out that the footage for *Yo-kai Watch 2: Hado* differed in details—such as the characters’ faces—from the version shown the previous day during “Nintendo Direct 2026.9.9.”

On September 12, Mr. Hino posted a statement on his X account explaining that AI had been used in the presentation footage. Additionally, on September 14, he addressed the use of AI in the booth concept art via his X account.





“Yo-kai Watch 2: Hado” Concept Art: Many Parts Misunderstood as AI-Generated Were Actually Human Errors or Intentional Omissions

In the statement, Level-5 provided a detailed explanation—including production materials—regarding the particularly controversial concept art for *Yo-kai Watch 2: Hado*. They revealed that the parts pointed out as AI errors actually included a number of intentional omissions and human errors.

Additionally, regarding the power lines that were pointed out as looking unnatural, the statement explained that they were intentionally simplified as part of the background based on real-world utility poles and power lines, and were hand-drawn by the designer. Similarly, the omissions of details in the vending machine and rain gutters were attributed to human error.Regarding the bicycle brake levers, the company reflected that while they had not been depicted in previous titles (such as Yo-kai Watch 2), they should have been included in accordance with the concept of enhanced detail in the latest title.

“Currently, even regarding human error, the situation has led to misunderstandings that AI was used, causing many people to feel uneasy,” they acknowledged, adding in a statement of reflection, “This, too, stems from our careless use of AI in some of the footage.”

The reason for the difference in Keita’s face was a scheduling issue

Regarding the frequently pointed-out discrepancy that “Kenta’s face looked different between the Nintendo Direct and the LEVEL5 VISION 2026 II announcement,” the developer explicitly stated that no changes or corrections were made using AI.They explained that while they had made corrections due to the low quality of the character model, the Nintendo Direct deadline was too tight to incorporate those changes in time, so they were forced to use the new version of the model at their own press conference.

They also reiterated that AI was not used in *Professor Layton and the New World of Steam*.

The company promised to avoid the direct use of AI in videos intended for users going forward.

At the end of the statement, they apologized, saying, “We deeply apologize for causing distrust due to our inexperience in utilizing AI and human errors.” Regarding the game content, they reiterated that there is absolutely no direct use of AI.

They further stated, “Going forward, we will limit the use of AI to what is necessary for efficiency, and we promise to avoid its direct use in footage presented directly to our users,” expressing their commitment to exercising even greater caution regarding the content they release.


By H.Laameche