Razer Spends $600 Million to Sharpen Focus on AI Gaming

Gaming company Razer is reportedly in the midst of an expansive revamp based around artificial intelligence.

As part of the realignment, the company is rolling out new products for consumers and businesses, Bloomberg reported Tuesday (Jan. 6). These include headphones that would compete with smart glasses, a PC designed to handle heavy AI workloads and an open source AI developer kit.

CEO and co-founder Min-Liang Tan said AI represents a multibillion-dollar opportunity for Razer, per the report. Interviewed before the CES conference in Las Vegas, he said Razer will invest more than $600 million into the technology over “the next couple of years” and is hiring roughly 150 AI scientists.

While many companies at CES are promoting AI-powered products, Razer is among the few trying to convince gamers of the convenience of AI, the report said.

The market for AI in gaming “is completely untapped, so we see it as a massive opportunity for us,” Tan said, per the report, pointing to about 150 million people already using Razer’s software platform.

He added that the increasing popularity of video games, especially among young people, means Razer can offer its new products to large numbers of potential customers without having to expand its sights beyond that audience, according to the report.

“Instead of us going mainstream, we believe that mainstream will come to us,” Tan said, per the report.

Elsewhere at CES this week, Meta offered a glimpse into new features included in its smart glasses, while Walmart touted its AI-powered advertising assistant.

The conference also showed that consumer electronics companies are again investing in domestic robotics, although the likely path forward is still incremental.

“Early household robots may assist with narrow tasks in controlled settings, complementing existing appliances rather than replacing human labor,” PYMNTS wrote Monday (Jan. 5). “Integration with smart home platforms may make these systems more useful, even if their physical abilities remain limited.”

For companies like LG and Samsung, the strategic value may stem as much from ecosystem positioning as from immediate functionality. Robots connect AI platforms to physical spaces and bolster the idea that these companies can handle daily routines, not just digital interactions.

For all PYMNTS AI coverage, subscribe to the daily AI Newsletter.