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Gamification 2.0: How AI knows what keeps you engaged

Costa’s work is structured around a central premise: LLMs can personalize gamified experiences in real time, making engagement more adaptive and dynamic

byKerem Gülen
March 17, 2025
in Research
Home Research

Gamification—the strategic use of game mechanics in non-gaming environments—has long been touted as a way to drive engagement, from education and corporate training to healthcare and retail. But gamification, like any system, is only as effective as its adaptability.

In Integrating LLMs in Gamified Systems, Carlos J. Costa proposes a mathematical framework that integrates LLMs into gamified environments, aiming to enhance user engagement, task difficulty adjustment, and reward systems. His research, backed by a simulated test environment, suggests that the fusion of LLMs and gamification could revolutionize user experience across multiple industries.

But does the theory hold up? And more importantly, does it go beyond the buzzword-heavy AI discourse to offer a truly scalable and effective model?

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The core argument

Costa’s work is structured around a central premise: LLMs can personalize gamified experiences in real time, making engagement more adaptive and dynamic. His framework introduces mathematical models that quantify three critical aspects of gamified environments:

  • User engagement dynamics: Using a differential equation to predict and influence how engagement fluctuates based on rewards and disengagement factors.
  • Task adaptation: A formula-driven approach to adjusting difficulty based on user performance, ensuring a challenge without frustration.
  • Reward optimization: A decision model for maximizing user motivation by balancing immediate effort with long-term gains.

SENSEI: The AI that explores like a curious child


What this means in practice

Costa outlines how this framework could be applied in education, healthcare, retail, corporate training, and entertainment. The examples he provides—LLM-powered adaptive learning, AI-driven fitness tracking, personalized retail rewards, and real-time skill development in corporate settings—are compelling, if not entirely new.

A key strength of the research is its quantitative rigor. Unlike many AI + gamification discussions that rely on abstract claims, Costa uses mathematical modeling and reinforcement learning algorithms to test engagement dynamics. The simulation findings reinforce that AI-driven task adaptation can keep users engaged by fine-tuning difficulty levels in real time.

Costa’s approach stands out in several ways:

  • Many gamification studies discuss the role of AI in vague terms, but Costa grounds it in quantifiable models.
  • The use of reinforcement learning to optimize engagement and difficulty sets this apart from more static gamification frameworks.
  • The study doesn’t limit itself to education or gaming but explores a broad spectrum of applications, from healthcare motivation systems to AI-powered retail engagement.

The integration of reinforcement learning, task adaptation, and reward optimization shows promise for real-world applications. However, the paper would benefit from real-world case studies—not just simulations—to validate its findings.

The biggest challenge? AI-driven personalization walks a fine line between enhancing engagement and over-engineering user experiences to the point of artificiality. Future research should focus on how humans respond to AI-curated challenges over time and whether AI-driven gamification leads to genuine motivation or just prolonged interaction.

Nonetheless, if LLM-powered gamification can balance engagement without veering into exploitation, this approach could redefine how we design interactive experiences—not just in education or retail, but across every industry where engagement matters.


Featured image credit: Kerem Gülen/Midjourney

Tags: AIFeatured

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