Tyler Perry paused an $800M studio expansion after seeing OpenAI's Sora. DreamWorks founder Katzenberg predicted AI could cut animated-movie jobs by 90% in three years. The shift means studios will produce cheap pilots and more content, then spend big budgets only on proven hits.
$800 million studio expansion halted because of AI. 4 months ago, DreamWorks founder Katzenberg said AI will cut animated movie jobs by 90% in 3 years. It's already happening. After seeing Sora, so OpenAI Sora, which is the— it makes like cool videos for you, just text a video, right? Tyler Perry halts $800 million studio expansion. What specifically convinced him? He said, I had gotten word over the last year or so that this was coming, but I had no idea until I recently saw the demonstration of what it's able to do. It's shocking to me. I think it's going to be a major game changer because if you can spend a fraction of the cost to do a pilot, would have cost $15 million, $20 million, or even $35 million. If you're looking at HBO, of course, the bottom line of those companies would be to go the route of lesser costs. And they're going to crank out way more volume and content, and then they're going to double down on the hits and spend the money there. It'll be a much more profitable model in the long run.
