Is Google’s Veo 3 Indicating a Shift Toward Interactive Worldwide Models?

Could Google’s Veo 3 Signal the Dawn of Interactive World Models?

In the rapidly evolving landscape of artificial intelligence, the distinction between different types of models is increasingly significant. Notably, while video-generation models focus on creating realistic visual content, world models are designed to simulate the dynamics of real-world environments, enabling AI agents to anticipate the outcomes of their actions within a virtual or physical space.

Recent developments from Google suggest a bold step toward harnessing the power of world models for interactive applications. The tech giant aims to evolve its multimodal foundation model, Gemini 2.5 Pro, into a sophisticated world simulator that emulates human cognitive processes. This initiative aligns with a broader trend in AI research, focused on creating agents capable of understanding and predicting real-world physics and behaviors.

In December, DeepMind introduced Genie 2, an innovative model capable of generating an infinite variety of playable virtual worlds—akin to complex video games—highlighting the potential for AI to craft immersive environments. Following that, reports in early 2025 revealed that Google is assembling a dedicated team to develop AI systems that can accurately simulate physical environments, further emphasizing the company’s commitment to advancing interactive, real-world-like simulations.

As Google’s latest endeavors, potentially exemplified by its Veo 3 project, progress, we may be on the cusp of a new era where AI-powered world models become integral to gaming, training simulators, and beyond. These advancements could fundamentally redefine the boundaries of virtual interaction and AI’s role in understanding the complexity of our physical universe.