Leveraging AI in Media and Entertainment 

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Leveraging AI in Media and Entertainment 

The presence of AI in the media and entertainment industry has been growing with an increase in customer demand for more flexibility, choice, personalization, and access to unlimited content. Here, we’ll discuss the role of artificial intelligence in media and entertainment. 

The media and entertainment industry is flourishing in today’s world. Whether it is social media networking, news portals, or OTT platforms, the industry has lots to offer to the common public. Statistics show that the M&E industry will be $2.9 trillion by 2026

It’s no surprise, given that the media and entertainment houses are adopting AI to cater to the changing market demands and customer requirements. Artificial intelligence is now a part of the industry and has varied roles to play. From personalizing content for users to auto-generating news and predicting future events, AI in media and entertainment is redefining how people consume content. 

In this blog, we’ll look at how artificial intelligence is transforming the media industry and the future of entertainment. 

What is the Market Size of AI in Media and Entertainment?

According to a report by Business Wire, the M&E industry will be spending $1860.9 million on artificial intelligence by 2025, while the overall AI market is expected to touch $118.6 billion. Another report shows that AI in social media alone will touch $12 billion by 2031. There’s no denying that artificial intelligence will continue to be a prominent part of the M&E industry. 

What is the Role of AI in Media?

Many millennials and Gen Z users consume media on digital platforms and expect personalized customer experiences and content curated exclusively for them. This led to a greater digital revolution and the adoption of artificial intelligence by M&E businesses. 

However, the media houses had to overcome quite a few challenges to ensure they provide quality content to consumers and take advantage of the benefits offered by artificial intelligence. 

AI is not limited to a single role or department in the media industry. For example, 

  • Facebook uses deep learning to understand the user’s preferences and show relevant content (ads, suggestions, etc).
  • Facial recognition technology automatically identifies people in images and makes it easy to tag them on Facebook, Instagram, etc. 
  • LinkedIn uses AI to help professionals expand their network and find the right connection to boost their careers. 
  • AI tools can collect the latest news from different portals and auto-generate an article based on the available data. 
  • Artificial intelligence automatically creates subtitles in different languages for the given videos. 
  • Online AI tools can create images from text prompts. This is done using a generative AI algorithm. 

How is AI Impacting the Entertainment Industry?

Many media houses and entertainment companies are investing in AI to retain their competitive edge and stay relevant in the market. Here’s how AI is impacting the entertainment industry. 

1. Content Development

Creating unique content takes time and effort. While it is still a human-dominated field, generative AI solutions are disrupting established practices in many ways. While online writing assistants and grammar checkers are fine-tuning human-written content, platforms like ChatGPT are churning out pieces on their own. 

Narrato and Copy.ai are two examples of AI-based writing assistants and content-creation tools used by various companies and professionals. No doubt, generating written content is faster with AI. 

Nevertheless, there’s no denying that artificial intelligence enhances the quality of content writing and will continue to assist human writers fine-tune their works. 

2. Image Generation 

DALL-E is not the only AI-based image generator in the market. Many free and paid generative AI tools can create realistic HD-quality images based on a text prompt or an input image. These images are being used in blogs, news articles, social media posts, etc., to increase viewership. 

Using AI for image generation is a cost-effective move and allows entertainment companies to deliver the final product quickly to the market. However, establishments still have to deal with the challenges of plagiarism (it’s not clear how AI generates the images) and ethical AI. However, artists can use AI image generators to enhance their existing work and make it more appealing to audiences. 

3. Marketing 

A survey report shows that 73% of marketing executives are already using generative AI for B2B and B2C marketing. Businesses from different industries use AI for marketing. The entertainment and media industry can hugely benefit from partnering with an artificial intelligence consulting firm to streamline its sales and marketing strategies. 

From identifying the right target markets to understanding customer behavioral patterns and using feedback to create compelling content, AI-powered marketing can increase the visibility and reach of an entertainment company in competitive market conditions. AI also makes it easy to manage omnichannel marketing and enhance the customer journey with the business. 

4. Film Production 

AI tools can now write the script and make a film on behalf of humans. It takes less time, effort, and money to use AI for film production. For example, 28 Squared Studios collaborated with Moon Ventures to create a short film titled The Safe Zone. The entire film is written and produced by ChatGPT, down to the facial expressions required, character script, outfits, camera positioning, etc. This film was made to showcase how generative AI can help the entertainment industry. 

While writers and content creators are still on strike against the use of AI to replace human creativity, there’s no denying the role of artificial intelligence in storytelling. The high-end graphics and visual enhancements in movies is the best example of how useful AI is in film production. 

5. Monetization 

With consumers shifting from traditional platforms to digital service providers and OTTs, ensuring content monetization can be tough the production houses and streaming companies. However, using AI in entertainment helps with personalizing content, hyper-targeting audiences through marketing, and mitigating churn to keep the income flowing. 

AI analytics and advertisement strategies can increase subscriptions and ensure consumers are loyal to the platform. Personalization plays a major role in monetizing content for a diverse group of users from around the globe. OTT platforms like Netflix and Amazon Prime use powerful AI engines to customize the interface and content for each user. 

6. Content Optimization 

Entertainment companies produce and share content to generate money. However, managing the content distribution and licensing terms can hugely affect its profits. AI helps in making the right decisions based on market demands and trends. 

Predictive analytics is used to understand what type of content the target audiences will enjoy. The marketing teams rely on these insights to determine the right channel and distributor to share the content with the public. Similarly, adding optimized metatags, labels, comments, alt text, etc., will take the content to a wider group and increase views. In today’s world, audio-visual content has to be easily accessible and discoverable for users across various platforms and channels. 

7. Data Management 

Data aggregation and normalization are time-consuming and cost-intensive, especially for media companies. They have to constantly collect and process the news from several sources to create more content and present it to their consumers. Manually performing these tasks limits the extent of data collected. Furthermore, data storage is another aspect to consider. 

However, artificial intelligence can help collect and store data in a centralized location (data warehouse or data lake) through automation. Data management is easier when entertainment establishments rely on AI applications. 

8. Operational Efficiency 

Media houses and entertainment companies deal with tremendous amounts of data every day. Trying to collect, process, and utilize raw data requires extensive resources. Big data analytics driven by AI tools save time, cost, energy, and resources. This leads to greater operational efficiency and fewer human errors. It also allows the teams to focus on innovation and creativity rather than boring tasks. 

For example, a news presenter can come up with creative ways to share the latest news updates with the audience when don’t have to spend hours of their time manually collecting data and confirming its authenticity. 

9. Embed Analytics

Data analytics is vital for every business. Nevertheless, companies can no longer rely on manually derived analytics due to the time and resources required. Artificial intelligence tools can automate big data analytics to provide in-depth insights and predictions in real-time. 

Similarly, the reporting dashboards can be directly embedded into the websites and apps to share insights with third parties and end users. For example, a news or sports portal can add a widget to the webpage to automatically update election results or live scores. Other news portals can also request access to embed the dashboard to their websites. 

10. CLV Prediction 

AI helps companies predict the CLV (customer lifetime value) of prospective leads to determine the right marketing strategy to convert them to customers. However, in the entertainment industry, CLV predictions are used by casino owners to streamline online betting and gambling. 

Artificial intelligence-based analytics help casinos identify big players to target them with more ads and promotions and increase their engagement with the platform. With the global online gambling market estimated to cross $94 billion by 2024, it’s easy to see how AI can boost business for casinos and betting companies. 

11. Increase Revenue and Brand Value 

Greater revenue is the ultimate goal of any business. That’s why more establishments from the industry are partnering with reputed AI consulting companies to revamp their internal processes and adopt advanced technology. 

From optimizing the use of resources to enhancing customer experience and ensuring employee satisfaction, AI helps entertainment businesses find more ways to increase revenue and boost profits. It also empowers them to make effective decisions and establish a worthy brand value in the competitive market. The higher the reputation, the greater the ROI, profits, and customer loyalty. 

What are Examples of Artificial Intelligence in Entertainment?

1. Recommendation Engines 

Customers expect personalization from their service provider. Using entertainment artificial intelligence to create robust recommendation engines is a trend in the current market. From OTT platforms to music apps, games, eBook readers, etc., every platform has its own AI and ML algorithm to provide personalized search results and recommendations to users. These are based on various factors, such as the age, demographics, and preferences of the user. 

2. AI Chatbots 

AI chatbots have become a norm in many industries. From healthcare to eCommerce, many businesses use chatbots to provide customer service. The entertainment industry is no different. Music apps and OTT streaming service providers use AI chatbots to provide 24*7 customer support and ensure that users can solve most issues without any stress. 

3. High-Quality Streaming 

Netflix is a great example of how to use AI to improve streaming quality. The platform’s algorithm analyzes the user’s internet network and identifies the best server locations to ensure high-quality streaming even when the network is busy. Users can enjoy their favorite shows despite using the internet during peak hours. 

4. Robot Journalists 

Bertie by Forbes and Cyborg by Bloomberg are two good examples of robot journalists or AI-based CMS (content management system) that automate headline and storyline creation based on the input parameters. The tools can create a news article about a sports event or a press conference based on pre-defined parameters. 

5. AR/ VR in Gaming 

Augmented reality and virtual reality games are popular with the global crowd. AI experts achieve this by using advanced models to create interactive virtual worlds. The games are backed by ML algorithms to enhance the experience for players and make it harder to win. This keeps them hooked to the game and its constantly-changing content. 

What is the Future of AI in the Media Industry?

According to the latest media and entertainment industry statistics shared by Deloitte, digital media is becoming more interdependent and interconnected. 54% of consumers watch a video or movie after hearing about it on social media, and 49% of gamers discover new music through video games. Artificial intelligence has a major role in this development as the online content on each platform is customized for the user. 

AI is a game-changer in the M&E industry and has been disrupting several areas, ranging from marketing to customer experience. Entertainment companies will continue to adopt artificial intelligence for many coming years. 


AI in media and entertainment has the potential to change how people look at the industry. Though companies have to overcome plagiarism, bias, and ethical AI concerns, they can create a beneficial ecosystem that’s responsible and accountable for content creation. 

Entertainment and media businesses should work with AI consulting companies to ensure data compliance and make the most of advanced technology to boost their revenue. Using AI correctly will lead to positive developments in the global market. 

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