EY’s research shows that Gen AI will impact the complete M&E value chain from the heart of the sector (content creation) to content management and engagement. It will thus enable a whole new paradigm of monetization opportunities. The survey points to the top three applications of Gen AI being Content Development (92%), Product Development/design (69%), and Customer Engagement (65%). In some of the spaces, we are seeing companies starting to leverage Gen AI already: 

EY research forecasts Gen AI to drive over 10% revenue growth and a 15% efficiency increase, adding INR450 billion in value soon. Approximately half have implemented Gen AI, while the rest plan adoption within 12 months. Despite readiness concerns, India could gain disproportionately with swift expertise development, potentially generating a US$15-20 billion impact, rivaling the domestic M&E sector's size. Key areas include becoming a content processing hub and offering services for content compliance, addressing the challenges of global OTT platforms.

The fervor with which the M&E sector has adopted digital technologies earlier, and the excitement of Gen AI, has also resulted in concerns. So, while about two-thirds of the respondents believe that the productivity increase and amplification of existing workforce potential would impact the workforce positively, there is apprehension around the risks related to Gen AI. Hallucination and biased responses stand out as the most critical risks posed by Gen AI. About 95% of respondents believed that regulation of AI is required. Of these, half expected that regulation standards set by industry associations should be implemented to mitigate these risks. The Gen AI wave in India’s media sphere, though promising, brings forth myriad challenges.

Intellectual property debates rage, with questions about AI’s creative ownership and rights of human creators. Data protection, especially with India’s vast consumer base, becomes paramount. Balancing innovation with ethical considerations is crucial. While such fears are normal, given the capabilities demonstrated by Gen AI tools, it is far more likely, as our survey suggests, that rather than Gen AI supplanting humans, it will be ‘humans + Gen AI’ that will boost productivity, bring greater visual and audio magic, and help improve monetization of products and services. In conclusion, as India’s Media & Entertainment sector stands at the cusp of a Gen AI revolution, the journey ahead, while challenging, is replete with opportunities. With the right blend of policy, innovation, and ethical considerations, a new era of Indian storytelling beckons.