It is not an illusion of AI. A perfect storm seems to come together in the world of generative artificial intelligence which promises to have deep effects on the way Hollywood does business.
In fact, there is a good chance that the revolution generating AI will have a greater impact on Hollywood from the point of view of the company and the property, even before the technology could transform the production of movies and television programs.
This is up to simple commercial mathematics that encounter the main trends that reshape the media and entertainment. And they are all connected. Go with me here:
** A handful of IA companies – including OPENAI, Anthropic and Perplexity – accumulate eye assessments. Openai reached $ 500 billion in August. Anthropic is estimated at $ 183 billion.
** These companies give the old technology sector guard – Apple, Microsoft, Amazon, Facebook, Google – the first serious challenge to their domination, especially in the eyes of Wall Street.
** The pressure to catch up on AI may well bring Hollywood technological companies closer, because AI platforms need large amounts of content to train AI services to provide human conversations with users. With AI, there is suddenly a new case of commercial use so that Big Tech buys Hollywood companies with large libraries of film and television programs.
** This dynamic takes place just like Warner Bros. Discovery and Nbcuniversal are about to become much smaller. Both transfer their linear cable channels into distinct entities, a sign of how streaming has changed Hollywood trade models. By becoming smaller, the four companies that result are more attractive as an acquisition objective. The new owners of Paramount are so eager to pick up Warner Bros. And HBO that they prepare an offer for the entire WBD, including the wired channels which are now defined to be turned.
Wall Street and global economists are convinced that the BOOM of AI – the rise of platforms and software tools that allow users to have human interactions with IT devices – will lead the next great productivity and innovation wave. (If the past is a prologue, this, in turn, the American economy.) The AI is already much more concrete than a commercial proposal for technological companies which are busy designing all kinds of specific uses for specific needs. It is not the ephemeral of NFT and annoyed monkeys, VR avatars and pieces even; AI profits and innovations are about to feed the next wave of companies shaking the world at the Amazon and Google and Uber.
The main companies of AI such as Openai and Anthropic, both based in San Francisco, have become with investors, and which give these companies a power that has exerted enormous pressure on the established players of Silicon Valley. It is clear that even the biggest of Big Tech – Apple, Google, Microsoft, Facebook – are late in the development of their own AI applications that change in the world. These companies have been seriously threatened for their rule for decades as leaders in R&D, innovation and market share.
In the past year, most technology giants have scrambled to recruit the best AI engineers and data scientists to help them catch up. It is a truism in the field of zeros and those: innovate or die. Google, Apple and others have no choice but to be aggressive in the integration of AI functions into their products. OPENAI and Anthropic are well ahead of the old guard in the development of large -language model engines that are necessary to provide the digital brain for chatbots and AI agents, such as the OPENAI Chatppt and the Claude of Anthropic service.
Many see parallels with the rise of office computer science in the 1980s and the dawn of web browsers and internet search engines some 20 years later. In the midst of all this activity, no one was surprised to see a peak in the copyright -related disputes on the AI of authors and copyright holders.
Disney, Nbcuniversal and Warner Bros. Discovery are launching their legal fire power in a small IA company, Midjourney. The studios accuse the middle of the blatant violation because a large part of the material protected by the copyright of each studio is now cooked in the LLM of Midjourney. The studios maintain that any text or imaging that Midjourney creates via AI (based on user prompts, such as “Show Me Batman and Superman Fighting”) uses these documents protected by copyright and thus becomes another example of an offense.
There have already been some court decisions in AI cases. These shape an emerging consensus on the authorized uses of generative AI tools. Anthropic has reached a regulation of $ 1.5 billion in a collective appeal brought by hundreds of authors saying that the initial iteration of Claude, his AI platform oriented towards the consumer, was formed on hacked books. Anthropic had to write a large check (although a judge must always approve the agreement) – one of the greatest in the history of copyright violation affairs. But the case also rendered an important decision in June of the American district judge William Alsup in San Francisco, speaking that the LLM of training on the books were legal, as long as the books were legally obtained. This clarity allows companies to market their services more aggressively, with more confidence that they will not be faced with debilitating legal complaints.
These distinct trends and developments are at the same time that Hollywood creatives need to wrap their arms around another type of AI challenge. While Hollywood producers are turning more and more towards AI tools to help develop stories, characters and franchises, the creative community needs a new training to understand how to protect themselves from allegations of copyright. The new state of the art for the protection of copyrights no longer sends you a script – it documents the series of prompts typed in a bot fueled by the AI which delivered the requested results. Prove who has created what at the rapid stage will be the new source of friction in future disputes on paternity – when there is money to make on a successful film or a television program.
In May, Lori McCreary, former president of the producers of America and CEO of Morgan Freeman’s Revelations Entertainment, and Ghaith Mahmood, a partner of the law firm Latham & Watkins, led an AI workshop offering DOs and NES did not signify for a wide public consumption. Understanding the legal nuances to work with AI is “the new production front line,” McCreary told the crowd gathered for the annual PGA produced by conference in Los Angeles.
Mahmood’s advice for the public were succinct: “Look for restrictions.”
McCreary and Mahmood have stressed that producers must clearly understand the terms of use and restrictions on the content created via AI via prompts. And producers should know if the AI generator content they produce will be made available in more important databases for others.
“How can tool providers reuse the content you put, is the output that is out?” Said Mahmood. “This is where the rubber meets the road.”
The volume of AI used to create a new work can also affect whether copyright. “If there is something you want to prevent others from reusing or recreating, an important element of its creativity must be done by a human,” said Mahmood. He suggested that producers insist that all external sellers working on a project – such as visual effects companies – are “required contractually to disclose when AI is used in one of their documents”.
Mahmood and McCreary also discussed emerging financial opportunities for content owners thanks to the two words that Hollywood likes the most: the content license. McCreary and other AI experts during the session underlined the voracious need among technological companies to concede to large content databases for AI. They told the crowd that IA companies already spent billions of dollars to buy or dismiss large collections of high quality photo and video content.
Hollywood is obsessed with the protection of copyright and the preservation of the rights of artists. Mahmood told the crowd in the crowd, however, that IA companies thought they were larger than stealing content in order to produce inexpensive imitations of television and television programs; They need high -end content to serve as fuel to conduct the construction of the AI empire and to make it the type of consumer technology that stimulates radical changes in the way we live and work. “They don’t try to recreate your film,” he said. “They try to recreate the human body moving into space.”
I spent a lot of time in the past year giving myself the AI and what it will mean for the entertainment industry. I piled up as much data on AI as possible in my frontal lobe, absorbing discussions in English on AI during conferences and podcasts.
I got out of the other side of this research mission convinced that the competitive opposite winds that have landed from the establishment of technology and the media will bring the two sectors closer. The influential industries that succeed in animated success at the opposite ends of California have long looked at a distrust. This could be a moment of association of forces against a common threat. Or maybe a well-wasnut company makes a daring offer for Disney or Nbcuniversal or Warner Bros. and HBO.
Hollywood and large new and old technological companies have common needs and common interests. And there is new money to be earned in AI. It will change things. My new mission is to refine my AI agent to help me follow what is sure to be the big, big challenges, Big -Drama Story of the Business World – as long as Claude can see in the future.
