The new year will likely be a transformative one for the entertainment industry. Technological developments, gains in social media and streaming platforms, and changing consumer demands could bring the industry to a tipping point.
“From a creative perspective, AI has further penetrated the TV and film sectors, where practical, easy-to-implement use cases with measurable outcomes will lead the way in 2025,” the report reads.
It lists several AI functions that can be used in TV and film production to enhance visual effects and improve efficiency, such as Runway AI’s green screen technology and stable diffusion that creates otherworldly scenes and Filmmaker AI’s background removal tool that “[streamlines] postproduction, enabling the small visual effects team to achieve high quality results within tight deadlines.”
However, the report emphasizes that AI is not anticipated “to replace human talent.” Instead, it notes that the technology “should only enhance creative output.”
“The 2023 SAG-AFTRA and Writers Guild of America strikes set a clear precedent: AI should serve as a tool to support, not replace, human talent,” the report reads.
Grayce McCormick, founder and principal of Lightfinder, said she is skeptical about using AI in content development.
“This technology raises critical questions about intellectual property and the authenticity of human creativity, necessitating new regulatory frameworks and ethical guidelines,” she told The Epoch Times via email.
Another driver for change in the entertainment industry is the proliferation of social media and streaming content distribution platforms.
Social media and streaming platforms will continue to gain traction in entertainment content production and distribution. Timeekah Murphy, founder of Alani Taylor Co., told The Epoch Times via email that social media platforms will be more influential than older media ways.
“Creatives will use this as their global stage by owning and producing authentic content for their brand,“ she said. “This is gearing the entertainment industry to have a future of no creativity limits.”
Branding and marketing expert Vergi Rodriguez went a little further. She said she sees streaming platforms gaining an edge over traditional media distribution.
“Greater prevalence of streaming will offer more personalization with the use of AI among others in integrating interactive features, such as choose-your-own-adventure storylines,” she told The Epoch Times via email. “Subscription models will change, perhaps offering ad-supported, hybrid, and pay-per-view options.”
Ryan Schreiber, founder and CEO of Streamline Technologies, said he expects streaming wars to intensify in the new year as sports move to streaming platforms in full force. He noted that 2024 ended with Netflix’s NFL splash and that soon the sports streaming faucet will open all the way.
“In 2025, the NBA rights will move to streaming meaningfully,“ he told The Epoch Times via email. ”So, the punchline is that 2025 seems to be the year that the streamers take the lead on sports. Netflix fully joining the sports party and a meaningful change in how NBA fans watch will be the big movers to continue the cable downfall.”
A third industry driver is growing demand for content quality over quantity.
“Since the pandemic, people have grown accustomed to ‘fast-food’ content, binging their TV shows, and consuming overly-produced (and overly-budgeted) studio and streaming movies,” Heather Brittain, founder and CEO at Film Festival Insider, told The Epoch Times via email. “But audiences are getting smart and weary of sequels, remakes, and regurgitated plots.
“They are hungry for fresh ideas and new voices. There is a rekindling of love for truly independent film. ... I believe (and hope) we will soon see the discovery of new talents and new voices with fresh ideas, despite not having multimillion-dollar budgets.”
Viewers’ hunger for movies with fresh ideas, and novel voices, combined with movie production companies’ drive to lower costs, could result in another change for the entertainment industry in 2025, according to Rick Ellis, founder and managing editor at AllYourScreens.com: the decline of Hollywood’s leadership.
“More productions will continue to move from Southern California to other states and, even more importantly, other countries,” he told The Epoch Times in an email. “This shift is almost entirely due to lowered production costs outside of Hollywood and the increase in production rebates in Europe and Asia.”
Ellis said he sees one more factor driving movie producers away from Hollywood: the ongoing culture wars in America.
“The problem is that their solution tends to be to roll back diversity efforts in front and behind the cameras,” Ellis said. “This includes efforts to remove characters that might spark controversy, including gay and trans characters. And that is likely only to embolden critics and activate protests from people who support Hollywood’s diversity efforts.”
Aaron Henry, founder and managing director of Foundeast Asia Co., said he foresees the rise of regional content, particularly in Asia, which will present both opportunities and challenges for Hollywood.
“With the increasing global appetite for authentic, culturally nuanced stories, Hollywood has the chance to collaborate with regional creators, tap into unique narratives, and co-produce content that appeals to diverse audiences,” he said.
