In an era where Hollywood grapples with the dual challenges of job security in the face of artificial intelligence and the need for cost-efficiency, a new hybrid production studio, Innovative Dreams, is emerging, leveraging cutting-edge AI technology.
Innovative Dreams, a new player in the production services sector, is supported by Amazon Web Services and Luma, a generative AI startup. The studio melds traditional filming with a massive LED wall on its soundstage and AI tools that extend from pre-production to post-production. By integrating virtual production, motion capture, and various AI technologies—including those from Google’s Nano Banana and ByteDance’s SeeDream, Innovative Dreams claims it can drastically reduce both production costs and schedule constraints.
CEO Jon Erwin articulated this approach, stating, “We visually design and explore the world, then we take the footage that we filmed and start mapping that performance capture to these digital assets. You’re combining an actor’s performance with an appealing piece of [digital] attire. The exciting aspect is that the actor’s performance, camera work, and choice of lens all come together.” He emphasized that this method enhances the traditional filmmaking process within a digital framework, rather than simply substituting cameras and actors with AI prompts.
Innovative Dreams emerged from Erwin’s previous venture, Wonder Project, where he utilized AI to recreate historical scenes for the acclaimed series “House of David,” available on Amazon Prime Video. With Innovative Dreams, Erwin seeks to fully harness the potential of AI and virtual production, allowing for expansive film and show creation without the need to leave a soundstage, while also aiming to retain production in Southern California.
“It was a game-changer in House of David, so we came back from that experience thinking that other people must have been doing the same thing,” Erwin noted. “We quickly realized that wasn’t the case.”
Director and founder of Innovative Dreams Jon Erwin films CNBC correspondent Julia Boorstin on a soundstage in Los Angeles.
The inaugural project utilizing this innovative workflow is an ambitious three-part series titled “The Old Stories: Moses,” featuring Ben Kingsley. Set to air this spring, the series was shot in just one week on the virtual soundstage, showcasing the actors across 40 locations by projecting footage from around the globe onto screens in the production facility. Erwin asserts that traditional filming would have required five to six weeks and would not have had the financial feasibility to access so many diverse locations.
Given the enormous computing demands of AI video generation, Innovative Dreams has partnered with AWS for both investment and technical support, providing the necessary cloud and AI infrastructure to enhance real-time hybrid production tools used on set. This collaboration is part of AWS’s broader initiative to engage with the entertainment industry.
“We’re providing tools that empower filmmakers to operate in ways previously unimaginable, allowing for faster, more cost-effective content creation and enhanced collaboration that accelerates production cycles at scale,” says Samira Bakhtiar, AWS’s general manager for media, entertainment, games, and sports.
Another key investor and partner for Innovative Dreams is AI company Luma, which boasts a valuation exceeding $4 billion. Luma offers an innovative agent tool that aggregates various AI generation services into a cohesive workspace. Erwin notes that their ongoing feedback helps shape the development of these tools.
“By getting Luma to invest and engaging with numerous companies in collaborative discussions, we can significantly influence the tools we utilize,” he stated.
It took less than an hour for artists at Innovative Dreams to transform CNBC’s Julia Boorstin into a fairy using AI technology.
However, the emergence of new AI tools raises serious concerns about potential job losses in an already vulnerable industry. Following the COVID pandemic, which initially halted production, the writers and actors guild strikes further exacerbated the situation, causing extensive production delays in 2023. Since 2022, Los Angeles County has lost over 40,000 entertainment jobs, and production activity has dwindled to its lowest level since 1995. The ongoing standoff between the guilds and studios has largely revolved around fears that AI could jeopardize intellectual property rights and replace jobs.
“This industry has faced one challenge after another—ranging from construction issues to consolidation, budget cuts, and decreased content spending,” remarked entertainment attorney Jonathan Handel. “Overall activity is down by 25% to 35% compared to pre-COVID levels.”
Yet, the capacity to digitally fabricate sets, costumes, and makeup invokes concerns about the future job security of costumers, set designers, and makeup artists.
“The ongoing debate about job displacement versus job augmentation has yet to unfold fully, and it’s causing considerable anxiety,” Handel added.
Despite this, Erwin maintains that Innovative Dreams’ hybrid production capabilities will not exacerbate job losses.
“There’s a disturbing scarcity of green lights, especially in America,” Erwin remarked. “I believe this method can help bring filming back to the U.S.”
While Erwin casts optimism on the prospect that skilled professionals will adapt to this AI-driven landscape, Handel cautions that the technology may affect entry-level roles, making entry into this challenging industry even more difficult. Nonetheless, Erwin remains hopeful that AI can serve as an avenue for the industry to endure.
“This is essential to revive jobs in LA,” Erwin stated. “We’re developing a new approach to solve issues that have become unsustainable.”
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