Running With Scissors announced Postal: Bullet Paradise on Wednesday, December 3, and cancelled it by Thursday, December 4, after massive backlash from fans claiming the game used AI-generated artwork. The controversy escalated so rapidly that Goonswarm Games, the developer making the Vampire Survivors-style bullet heaven shooter, shut down entirely by Friday after receiving threats and abuse. The chaos represents one of gaming’s fastest announcement-to-cancellation cycles on record and highlights how quickly AI accusations can destroy projects regardless of whether they’re actually true.
What Was Postal Bullet Paradise
Postal: Bullet Paradise was pitched as a timeline-hopping, dystopian bullet heaven first-person shooter set in the Postal universe. Players could select from 11 unlockable Postal Dudes from different timelines in a cooperative experience described as similar to Vampire Survivors but with shooting mechanics. The game was being developed by Goonswarm Games with Running With Scissors attached as publisher. A Steam page went live, reveal trailers dropped on YouTube, and the game’s website received a dedicated section with a planned 2026 PC release followed by PlayStation and Nintendo Switch versions.
Within hours of the announcement, fans began claiming that artwork and potentially other assets in the game were AI-generated. Screenshots from the trailer and promotional materials were analyzed and compared against known AI art characteristics. The Postal community, which despite the franchise’s controversial reputation has clear standards about creative authenticity, flooded Running With Scissors with complaints demanding answers about whether generative AI was used in development.
How Running With Scissors Made Everything Worse
Instead of immediately investigating the claims or promising transparency, Running With Scissors co-owner Mike Jaret went on the offensive. He vehemently denied any AI use in the game and called accusers ignorant assholes, telling anyone who believed the claims to excuse yourself from our Discord. This aggressive response infuriated fans who felt dismissed and disrespected for raising legitimate concerns about a product they were being asked to support.
The hostile reaction from leadership made the situation exponentially worse. What could have been handled with a simple we’re investigating these claims and will report back turned into a full-blown PR disaster. Within 24 hours, Running With Scissors completely reversed course and posted a statement acknowledging that the negative responses from our concerned POSTAL Community indicated elements of the game are very likely AI-generated and thus has caused extreme damage to our brand and our company reputation. The publisher announced the project was killed immediately, stating our trust in the development team is broken.
The Timing Is Incredibly Awkward
This controversy is particularly embarrassing for Running With Scissors because just days before the Bullet Paradise announcement, the company had publicly disagreed with Epic’s Tim Sweeney over whether developers should be required to declare AI use in games. The publisher argued against mandatory AI disclosure requirements, claiming developers should have creative freedom without forced labeling. Then they immediately cancelled their own game over undisclosed potential AI use after community backlash, completely undermining their previous position.
Goonswarm Games Shuts Down
On Friday, Goonswarm Games issued a statement claiming the studio had been incorrectly accused of employing AI-generated art and that every attempt to clarify our work only exacerbated the situation. The developer stated they received a significant volume of threats, insults, and ridicule in the hours following the cancellation announcement. Studio head Artem Korkin told Polygon the closure would affect nine developers and contractors who are now out of work because of the controversy.
Goonswarm expressed particular regret for the artist who dedicated themselves to this project and supported our studio, only to be met with false accusations regarding AI. The developer still possesses the source code for Bullet Paradise but stated they don’t believe that continuing development on this project is feasible given how toxic the situation became. When asked if they’d release the game without Postal branding, Korkin indicated the project is essentially dead regardless of licensing.
Was AI Actually Used
This is where things get messy. Running With Scissors initially denied AI use completely, then reversed position to acknowledge community concerns that elements are very likely AI-generated without confirming definitively. Goonswarm Games maintains they were incorrectly accused and never used AI art. The reveal trailer was made private and the Steam page delisted before most people could analyze materials in detail, making it difficult to verify claims independently now.
The speed of the cancellation and the broken trust language from Running With Scissors suggests they found something concerning when investigating Goonswarm’s development process, even if Goonswarm denies wrongdoing. Publishers don’t typically cancel games two days after announcement unless they discover serious problems that jeopardize their reputation. However, it’s also possible Running With Scissors panicked and cancelled prematurely under community pressure without fully confirming whether AI was actually involved, destroying a legitimate project and an entire studio based on unverified accusations.
FAQs
What happened to Postal Bullet Paradise?
Postal: Bullet Paradise was announced on December 3, 2025 and cancelled on December 4, 2025 after community backlash over claims the game used AI-generated artwork. Developer Goonswarm Games shut down entirely by December 6 following threats and abuse.
Did Postal Bullet Paradise actually use AI?
Unconfirmed. Running With Scissors stated community feedback indicated elements of the game are very likely AI-generated, but Goonswarm Games maintains they were incorrectly accused and never used AI art. The evidence was never conclusively verified publicly.
Why did Running With Scissors cancel the game?
Running With Scissors stated the controversy caused extreme damage to our brand and our company reputation and that their trust in the development team is broken. The publisher killed the project immediately after fan backlash.
What was Postal Bullet Paradise?
Postal: Bullet Paradise was a cooperative bullet heaven first-person shooter similar to Vampire Survivors, set in the Postal universe with 11 unlockable Postal Dudes from different timelines. It was planned for 2026 release on PC, PlayStation, and Nintendo Switch.
Is Goonswarm Games still operating?
No. Goonswarm Games announced the studio shut down on December 6, 2025 following the Bullet Paradise cancellation controversy. The closure affected nine developers and contractors.
Will Postal Bullet Paradise ever release?
No. Running With Scissors killed the project and removed it from Steam. Goonswarm Games stated they still have the source code but don’t believe continuing development is feasible given the controversy.
What did Mike Jaret say about the controversy?
Running With Scissors co-owner Mike Jaret initially called people concerned about AI use ignorant assholes and told them to leave the Discord. The company later reversed course and cancelled the game, acknowledging the damage to their reputation.
Conclusion
The Postal: Bullet Paradise disaster shows how quickly AI controversies can destroy game projects in 2025. Whether Goonswarm Games actually used AI-generated art or was falsely accused, the outcome is the same: a game cancelled, a studio shut down, and nine people out of work. Running With Scissors handled the situation catastrophically by being hostile to community concerns initially, then overcorrecting by cancelling everything without apparent due process. The timing is especially ironic given the publisher just defended developers’ rights to use AI without disclosure days before this controversy erupted. For Goonswarm Games, the consequences are brutal regardless of innocence or guilt. They’re now associated with an AI scandal that ended their studio before they shipped a single game. This won’t be the last time we see projects destroyed by AI accusations, but it might be the fastest announcement-to-cancellation cycle gaming has witnessed.