David Ellison says AI could be the ‘biggest creative unlock in modern history’

AI could soon make the cost of producing ambitious films drastically lower for studios.

Paramount Skydance CEO David Ellison believes artificial intelligence will revolutionize the film industry, potentially surpassing the impact of CGI. He cited the evolution of CGI in the early 1990s, which enabled blockbusters like "Jurassic Park" and "Terminator 2," as a historical parallel. Ellison suggested AI could dramatically reduce production costs, making it feasible to remake films like "Terminator" for a fraction of their original budgets. He also stated that AI tools could facilitate more original storytelling by making production budgets more manageable and encouraging greater risk-taking. Ellison indicated that Paramount Skydance is developing its own AI tools to streamline content production, accelerate projects, and transform workflows. He asserted that these advancements will enhance the value of premium intellectual property and live events, while also noting a continued premium for human-crafted storytelling in an era of potential AI-generated content saturation. Ellison reiterated that AI is intended to augment, not replace, human artists.

Ellison's pronouncements signal a significant shift in how major Hollywood studios perceive AI's role, moving beyond mere efficiency gains to a fundamental redefinition of creative possibility and economic viability. By comparing AI's potential to the advent of CGI, he positions it as a transformative technology that could democratize high-end production, enabling more original and riskier content to be greenlit. This perspective suggests a future where the barrier to entry for visually complex storytelling is lowered, potentially leading to a surge in diverse narratives and a re-evaluation of traditional studio funding models.

The emphasis on AI as an "unlock" for creativity and budget digestibility points to a market where studios might proactively invest in AI development to gain a competitive edge, as Paramount Skydance is reportedly doing. This could accelerate the development of proprietary AI tools across the industry, making content creation more agile and iterative. While acknowledging the continued value of human artistry and premium IP, the underlying message is that AI will become an indispensable component of the production pipeline, reshaping the operational landscape and the economic calculus of filmmaking.