The 2026–27 Prediction Shaking the Industry
... still wondering if robots have celluloid dreams.
The conversation that matters is happening here. Machine Cinema is home to the creators, builders, and business insiders defining the future of media and entertainment.
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Edited by Elizabeth Kealoha. Pod + Images by Ant Neely.
This Week Inside Machine Cinema…
A bold prediction that one of the AI giants will implode, the harsh truth about distribution on AI-first platforms, why workflows are fragmenting, and what actually builds recognizable IP in the AI era. Plus: new insights on short-form dominance, festival strategy, and the future of human-centered storytelling.
Overheard in Basecamp…
The Model is NOT the Moat: Why AI’s Phase Shift is Coming
A community member shared a paradigm-shifting analysis comparing today’s AI model builders to 1995 ISPs. The core insight: in Phase I, enablers of new technology hold power, but in Phase II when users tie their futures to the capability, foundation models become table stakes rather than differentiators. The prediction? First multi-billion dollar model builder implosion hits in 2026-2027.
“Don’t believe for a minute that just because OpenAI, Google, Microsoft and the other model builders make AI accessible and useful via their tech, they have an automatic hammer lock on the AI future. That’s telco thinking.”
The Distribution Crisis: Why AI Film Platforms Are Struggling
Distribution remains the single biggest problem in AI film, with specialized platforms like Rad and Escape seeing almost no views or interactions despite polished interfaces. Members examined platforms like Starc.ai (980 impressions on featured shorts) and discussed the harsh reality: most successful AI filmmakers are living off VC money or cross-financing with commercial work, with no current path around legacy media for monetization. The solution proposed? Critics who can filter quality from “slop.”
Link: Fairground.tv
“Distribution is the biggest problem in AI film. right now, there seems to be no way around legacy media if you wanna make money with your work. that includes the biggest players in the field btw.”
Navigating AI in Traditional Feature Production: A Producer’s Guide
In an extensive problem-solving discussion, members tackled the challenge of using AI tools in traditional feature production while addressing SAG concerns and actor hesitations. The breakthrough insight: when actors understand AI isn’t replacing their performance but rather speeding production, they become more comfortable seeing the cost benefits. A member offered to create a production deck for the community addressing jobs, payment, and copyright concerns.
Making Art, Not “AI Art”: The Case for Removing the Asterisk
Members debated whether AI creators should position their work as “AI films” or simply “films” competing without qualifiers. One perspective argued for making work that non-AI critics can review, aiming to compete with everything else available without asterisks. The counterpoint acknowledged we’re in a transitional period where people aren’t taking AI work seriously yet, requiring intentional infrastructure building through communities and critical voices.
“The ultimate goal is to make stuff that can compete with everything else that is already available. No asterisks”
Saudi Arabia’s Entertainment Takeover and Creator Ethics
Breaking news about Saudi Arabia potentially acquiring Warner Bros sparked discussion about monopolies in tech and entertainment, human rights concerns, and how creators respond when big paychecks are offered. Members cited examples like EA, where creators stopped working after Saudi PIF acquisition news citing differing values, contrasted with MrBeast launching a Saudi-backed theme park. The conversation highlighted how backlash typically lasts only until the checks get big enough.
“The problem is that monopolies in tech and entertainment are happening right now and in the USA it used to be against the law. But for some reason when big tech grew no one cares”
Which AI Models Will Win? Lessons from Tech History
Members analyzed AI’s competitive landscape by examining past tech wars—from OS battles to browser dominance to search monopolies. The conversation revealed current tool habits: members still haven’t canceled Midjourney despite new options, citing familiarity over superiority. The emerging consensus? We’re moving toward a world where creators maintain 3-4 image models in their toolkit, choosing based on desired aesthetics like selecting different cameras or film stocks.
“I think we’re moving toward a world where you have 3-4 image models in your toolkit and you pick based on the aesthetic you want. Just like how you might shoot on different cameras or use different lenses”
Question of the Week…
Is it time to stop calling them “AI films” and just start calling them “films”?
Building Recognizable IP: The Missing Ingredient in AI Content
A member proposed that AI content creators need to build recognizable IP by using the same character consistently across all shorts and videos, giving AI-generated content mainstream recognition. Examples like Critterz, trishacode, neuralviz, and Mean Orange Cat demonstrate this approach. The broader observation: too many AI influencers focus on creating mood and tone rather than developing plot, story, and characters that make audiences empathize with fictional worlds.
There’s No Single AI Filmmaking Workflow—And That’s the Point
Ahead of speaking at the Tallinn film festival, a member noted how filmmakers seek a single “correct” workflow for making AI films when the reality is far more personal. The key insight: you craft your own path with tools that appeal to you most, and your creative vision becomes integrated with the tools themselves rather than following a prescribed method. This philosophy extends beyond technical workflows to the bigger picture of AI and creativity.
Why AI Filmmaking Stays Short Form (For Now)
Members examined why the AI community remains focused on short form rather than features, identifying several reasons: tools aren’t ready for feature-length work, short form better demonstrates proof of concept and workflow capabilities, and it’s more impactful to show tool capabilities in 30-60 seconds. The broader context: features are barely being made period, with culture shifting to TV and streaming series, and mid-level movie budgets tightening without recognizable IP.
“the focus has been more on showing proof of concept and style and to get the most amount of attention possible with these tools that are not yet ready for feature film”
AI Festivals as Training Grounds: Don’t Wait for Cannes
A member encouraged the community to just make work and enter AI festivals, positioning them as springboards to legacy festival acceptance rather than dead ends. These festivals function as laboratories where work is assessed and judged with feedback, potentially becoming important like Sundance was for independent cinema. The advice: be public or private about tools based on comfort level, but don’t waste time waiting for traditional festivals that aren’t ready.
“…they’re the laboratories where the work is assessed and judged and given feedback… for now, don’t waste your time waiting for Cannes.”
‘A Human Future’ Doc Update: Distributors Respond to Human-Centered Approach
A member shared updates on their documentary “A Human Future,” which had a successful AFM screening attracting distributor interest. The doc takes a human-centered approach, addressing the cultural shift with AI rather than focusing on tools themselves—exploring human adaptation to a new paradigm. Planned for Q1 2026 festival release, the approach gives the film longevity since tools will change but the human question remains.
“I wanted to make something that would have more of a life beyond the tools being discussed. The tools will change. The human question remains.”
Real Creative “Pick of the Week”
Each week the Machine Cinema members + the Real Creative team obsess over social feeds in search of the world’s best AI creative video, gaming, and music projects.
You can find this and over 300 AI filmmakers and their projects over at realcreative.ai which features some familiar faces from the Machine Cinema community.
This week’s Pick of the Week is from Visual Frisson with a video that blends several styles together into a hyper-kinetic music video that features a real dance performance from Julia Shay. A custom beat-detection workflow sliced the song into sections (every few beats or bars), and Frisson generated multiple AI variations for each segment. Frisson also used Premiere, to select the strongest AI clips from the many variations, and used After Effects to layer on audio-reactive effects driven directly by the music. The end result is a video that feels wild and chaotic on the surface, but is actually built on a very structured pipeline: strong human performance, batch-generated AI variations, mathematically precise beat cuts, and music-driven visual effects all working together.
Socials: IG, ComfyStream
Events This Week…
GenJam NY: Make a Comedic Short with Morphic
Monday, 11/24/25 - 5pm local
“GenTalks!”- November 19, 2025
Each week we invite artists, builders, and thought leaders to share their knowledge, their works in progress and their ideas in this emergent space of generative media.
GUESTS: Christina Lee Storm + Annie Hanlon
Watch recording on YouTube, like and subscribe: GenTalks
SYNOPSIS
A lively and deeply appreciated conversation with Christina Lee Storm and Annie Hanlon, exploring the collapsing boundaries between production models, the rise of hybrid creative roles, the accelerating shift toward AI-native workflows, and the new career paths emerging around these technologies.
Community engagement was extremely active, with a huge amount of gratitude, excitement, and follow-up links shared throughout.
“Thank you for being yourselves — powerful female leaders in emerging technology and entertainment. Underrepresented, inspiring.”
Key Themes & Takeaways
The Blended Future of Production
Multiple comments highlighted that the “boundaries between platforms have collapsed,” signaling a world where cinematic tools, game engines, and AI systems blur into a single creative canvas.
Christina and Annie walked through how hybridized roles—especially “senior producer” positions—are evolving from fixed departmental pipelines into fluid, multi-disciplinary leadership that navigates human + machine collaboration.
Traditional: Scheduling, budgets, talent, oversight within fixed pipeline rules.
Emerging AI Model: Orchestrators across distributed toolchains, supervision over machine-generated material, rights-awareness, prototype testing, and ensuring creative alignment through accelerated iteration.
Senior producers increasingly become full-stack creative operators, capable of steering small, fast teams.
There was a consistent theme of “I didn’t know this was possible until today,”
Microdrama, Small Budgets & What AI Enables
Christine and others echoed the reality: budgets in microdrama and short-form digital work are small.
Jay Judah raised the point that extremely low-budget verticals may be the first to shift almost entirely to AI production.
Community sentiment: AI doesn’t kill human creativity—it offers a path to get work made despite shrinking budgets.
Community takeaway: adaptability and scrappiness matter as much as technical fluency.
Rights, Copyright & the New Compliance Layer
Annie’s reference to copyright workflows and product solutions sparked questions about navigating rights when generating interactive video or AI-assisted film assets.
Christina provided direct emails for those seeking guidance:
christina@playbookplbk.com and annie@playbookplbk.com
Links & Opportunities Shared during the session:
Secret Level openings:
https://secret-level.talentlyft.com/
Full-stack role: https://secret-level.talentlyft.com/jobs/full-stack-engineer-ceUz
Senior Producer: https://secret-level.talentlyft.com/jobs/senior-producer-cfgu
Annie shared the link: https://cocreationstudio.mit.edu/ai_documentary-_workgroup/
Christina extended an invitation to join their larger creative-tech ecosystem:
https://substack.com/@creativetechorbit
🔗 Link Drops
🧪 Tools & Industry
🎥 Film & Art Projects
📚 Reading & Thought Pieces
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