Every Fortnite Announcement in State of Unreal 2025: Squid Game, AI NPC, and More

Epic Games just wrapped up the State of Unreal 2025, and while the event touched on big names like The Witcher 4, Infinity Nikki, and Unreal Engine 5.6, Fortnite easily stole the spotlight. From a surprise Squid Game collaboration to major leaps in AI-driven creation tools, Epic laid out a bold vision for Fortnite’s future. Here’s a full breakdown of every Fortnite announcement made during the State of Unreal 2025 event, including new IPs, smarter NPCs, and tools that could change how creators build in UEFN.

Fortnite x Squid Game Announcement

Fortnite, known for its extensive crossovers with franchises like Marvel and Star Wars, is adding Netflix’s Squid Game to its roster. Right before the State of Unreal 2025 announcement, the official Fortnite account teased on social media a new collab with Squid Game.

The Squid Game crossover is slated for release later this month (June 2025). The Fortnite Competitive X account also reacted to this with an emoji. While there is no confirmation, Fortnite could do a competitive limited-time event or a mini-season for the launch of Squid Game Season 3.

This collaboration will also introduce Squid Game-themed tools to the Unreal Editor for Fortnite (UEFN). While we are yet to know about the specific skins, fan anticipation is high for iconic outfits like the participants’ jumpsuits and the masked figures’ attire. I mean, who wouldn’t love the PlayStation buttons on their mask, creating chaos in a Fortnite map? For now, the release is speculated to coincide with Squid Game’s third season premiere on June 27.

Epic Developer Assistant and Fresh IP

To streamline the development process within UEFN, Epic introduced the Epic Developer Assistant, an AI-powered tool currently in beta. This assistant aids creators by providing code snippets, workflow guidance, and answers to development queries, enhancing productivity and reducing development time. Moreover, the assistant will be running on the GPT 4.1 model.

In addition to Squid Game collaboration in Fortnite, Epic announced the integration of other popular IPs into UEFN:

• Avatar: The Last Airbender: Set to arrive in 2026, this collaborative addition will allow creators to incorporate bending mechanics and design experiences inspired by the beloved animated series. It will bring all the tools from the Battle Royale directly to UEFN.
• Star Wars: A big Star Wars event is already taking place in Fortnite. And that will get even bigger. While a specific release date wasn’t provided, official Star Wars features, templates, and assets will soon be available in UEFN, enabling creators to craft experiences set in the iconic galaxy far, far away.
• LEGO Brick-by-Brick Building: Launching on June 17, this feature introduces brick-by-brick building mechanics to UEFN, along with the LEGO Bloom Tycoon template, allowing creators to design tycoon-style gameplay experiences.

AI-powered NPCs and Personas in UEFN

Building upon the success of the Darth Vader AI NPC introduced in Fortnite’s Galactic Battle season, Epic is expanding AI capabilities within UEFN. The NPC takes full advantage of conversational AI and gives visual storytelling a new dynamic. And it goes further with the new Persona Device. The Persona Device lets the creators within UEFN the power to create characters with personalities that players can talk to.

Creators can customize NPC voice, delivery, and characteristics. Furthermore, creators can influence not only NPC interactions and dialogue but also the fundamental gameplay in Fortnite, leading to fresher and more dynamic player experiences. The Persona Device also comes with presets that will be useful for beginner creators within UEFN. In the Mr. Buttons demo, Epic demonstrated how the tool can work in a one-on-one conversation.

Other Fortnite Announcements in State of Unreal 2025

Apart from the Fortnite x Squid Game collab or AI NPC announcement, Epic also revealed several enhancements and tools aimed at empowering creators within UEFN:

• Scene Graph Beta: Releasing on June 7, this feature offers a new way to structure project content in UEFN. This will allow for hierarchical organization of entities, streamlined management of repeating elements through Prefabs, and dynamic interactions via Verse code.
• General Physics Beta: Set for a Q3 release, the new Fortnite physics update has been in rumors for a while. It introduces physics-driven gameplay mechanics, enabling the creation of sports games, sophisticated puzzles, and more within Fortnite.
• Fortnite Data API and New Discover: Epic is also launching a new Data API on June 9 for Fortnite creations. This is created to help creators make informed decisions and optimize their Fortnite experiences. Moreover, a new UI is being introduced (see image below) for the Discover tab. To prevent the same maps from repeatedly appearing in discovery, 100% copied maps will now be auto-blocked. Furthermore, the maps with very high similarity will be de-ranked on the tab.

Although the State of Unreal 2025 announcements for Fortnite were more focused on UEFN, we all know that shapes how the game continues to grow in the future. Are you excited for the Fortnite x Squid Game collaboration? Do tell us in the comments below.