Generative AI: A New Driver of Reinvention in Media and Entertainment

Generative AI (GenAI) is emerging as a key force in reshaping the entertainment and media (E&M) industry. According to PwC’s latest CEO Survey, nearly half of U.S. CEOs expect GenAI to increase profits within the year. In addition, 61% believe it will improve the quality of their products and services.

What’s Changing—and Why It Matters

Key Developments

1. Efficiency and Cost Reduction
Early discussions about AI in E&M have focused on its potential to reduce costs and improve efficiency. GenAI tools are already being used to turn concepts into stories, create realistic dialogue, generate visuals and storyboards, and transform text or static images into animated 3D models. These applications are streamlining production workflows in areas like Japan’s anime and comic industries and Indonesia’s broader creative sectors.

2. Enhancing Post-Production
In post-production, GenAI is speeding up editing processes and making them more efficient, which helps further reduce overall production costs.

3. Creator Rights and Industry Response
The 2023 writers’ strike in Hollywood highlighted concerns around the use of AI in creative industries—particularly regarding intellectual property, compensation, and control over AI-generated content. These concerns were addressed in the agreement reached with the Writers Guild of America, pointing to the importance of setting boundaries and protections as AI use grows.

4. Revenue Opportunities
Although the focus of GenAI in E&M has primarily been on cost and speed, its potential to open up new revenue opportunities is becoming more evident. Advertising, in particular, is seeing early adoption of GenAI for tasks like summarizing content, extracting information, and generating creative materials that can be quickly tested and refined based on audience response.

What Comes Next?
Generative AI isn’t just another tool in the box. It’s a creative partner, an accelerator, and—if used thoughtfully—a catalyst for reinvention. As the entertainment and media industry moves forward, the big question won’t be how much GenAI can save, but how far it can take us.

The focus is shifting—from cutting costs to creating value. And with GenAI in the mix, the future looks a lot more imaginative.

Source: PwC Perspectives – Global E&M Outlook