The Walt Disney Firm’s multi-million greenback synthetic intelligence initiative was dealt a blow this summer season when it misplaced a key chief.
The corporate fired Ben Stanbury, a former head of know-how at Amazon Studios whose job as Vice President of AI and Machine Studying was determining how Disney might greatest use AI, with a concentrate on creating efficiencies in manufacturing and post-production, based on two folks acquainted with the matter.
Disney cited efficiency points for his dismissal, however a person near the scenario mentioned Stanbury was put in an inconceivable scenario. “The strain to ship on a brief timeline, on a aim set that was unrealistic and with a tech that simply isn’t prepared” for the enormous calls for of Disney, set Stanbury up for failure, the person mentioned.
The incident marked a setback for Disney, which has poured $50 million into the AI initiative, based on an organization insider.
However it additionally underscored the broader cultural challenges going through Hollywood and conventional media corporations with regards to AI. At the same time as different industries — from know-how to publishing — proceed to include AI to chop prices and change jobs, media corporations have bumped up towards quite a few roadblocks together with actors reluctant to cooperate with AI fashions, animators and post-production consultants pushing again on change, technological limitations and authorized questions.
All these parts mix to decelerate Disney — and others — at a time when AI corporations are racing ahead with little look after an “moral” method that considers particulars like copyright.
“Internally, it’s a cultural resistance, not simply inside Disney, however all of Hollywood,” mentioned Raymond Wang, CEO and analyst at Constellation Analysis, which works with media corporations.
Disney declined to remark for this text. Stanbury didn’t reply to a request for remark.
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With the hype over AI exploding over the past three years, Disney got down to be first in school in innovating with the know-how.
A 12 months in the past, the leisure large established the Workplace of Know-how Enablement and tapped Jamie Voris, the chief know-how officer of Walt Disney Studios, to run the unit. He and his staff would concentrate on the potential use of applied sciences like AI and blended actuality to win efficiencies that may increase the underside line.
The staff additionally had a second mandate: determine how to do that ethically and responsibly.
On the face of it, that precedence made lots of sense. The trade has more and more embraced the moral use of AI, or utilizing fashions educated on licensed information and prioritizing the popularity of rights and IP, and defending IP from AI exploitation has constantly been a spotlight for Disney.
However these excessive minded intentions turned a means for the resistant components of the corporate to deprioritize any AI efforts, stopping the staff from making any tangible headway with the know-how, based on Wang.
For Disney, the issue was twofold. From a cultural perspective, many within the appearing and animation communities inside the firm oppose AI and have been vocal in regards to the problem (“Black Widow” star Scarlett Johansson and director James Cameron are amongst many who’ve warned about its risks), requiring the OTE group to tip-toe round their issues, based on folks acquainted with the corporate’s AI work. With management not seeking to ruffle feathers with expertise, there’s been no champion to get buy-in on AI from the disparate components of the Disney company empire.
Then there have been the technical hurdles. For all the guarantees that generative AI provided, the staff realized the know-how wasn’t fairly prepared for prime time. After a 12 months of labor, Disney discovered the AI techniques didn’t meet its requirements to switch the pricier elements of manufacturing, like visible results, leaving CEO Bob Iger annoyed with the dearth of progress, based on the insiders.
Disney isn’t the one firm whose expectations for AI overshot actuality. Lionsgate additionally had massive ambitions with its partnership with AI startup Runway, however the actuality has been a much more restricted utility of the know-how.
“For some companies, ok is nice sufficient,” mentioned Chris Ross, an analyst at Gartner. “Within the leisure enterprise, the bar is increased.”
It’s maybe why when Iger was requested about AI’s future function within the firm throughout final week’s earnings convention name, he struck a collaborative tone.
“We’ve been in some fascinating conversations with among the AI corporations, and I’d characterize a few of them as fairly productive conversations as properly, searching for to not solely shield the worth of our IP and of our artistic engines, but additionally to hunt alternatives for us to make use of their know-how to create extra engagement with customers,” he mentioned.
An inside tradition conflict
The unrestrained use of AI to repeat actors or recreate parts or characters from current reveals and films is a nightmare situation for Hollywood. It’s why Duncan Crabtree-Eire, nationwide govt director of SAG-AFTRA, estimates that as many as 15% of its 160,000-strong union “would like that AI not exist.” Nicolas Cage has described AI as a “lifeless finish” for actors. Guillermo del Toro mentioned he would “moderately die” than use the know-how in his movies.

However in actuality, that meant the OTE needed to navigate the core artistic class of Disney, which was vocally against the know-how. It proved to be an excessive amount of of a problem for Stanbury, who’s now at a stealth startup targeted on AI-driven content material creation.
“It turned extra about what they received’t do vs. what they may do,” Wang mentioned.
It turned extra about what they received’t do vs. what they may do.
– Raymond Wang, Constellation Analysis
It wasn’t simply with actors and administrators. One of many areas the place AI can present a right away profit is with animation, as an AI-generated cartoon is extra palatable than an AI-generated human. However Disney animators have been simply versus the know-how as actors, the particular person mentioned.
A number of hours after Iger’s feedback by which he teased the opportunity of customers producing short-form AI content material on Disney+, “Owl Home” creator and former Disney animator Dana Terrace tweeted, “Unsubscribe from Disney+. Pirate Owl Home. I don’t care. F–okay gen AI.”
That response is precisely why Iger has needed to stroll a nice line between pushing AI and sustaining relationships with key expertise. However that meant the initiative lacked any leaders prepared to make AI a precedence.
The fact vs. notion hole
Cultural hurdles apart, Disney was beset by the basic drawback of generative AI: an excessively optimistic notion of what it might obtain vs. the truth that the know-how remains to be restricted in some ways.
“There’s a giant expectation hole with AI on the whole,” Ross mentioned.
Certainly, a September report issued by software program instruments maker Atlassian discovered that 96% of CEOs have didn’t see any significant return on funding from the know-how.
In an effort to obtain a aggressive benefit, Iger pushed the OTE on a homegrown effort for AI video era, based on an individual acquainted with the corporate’s plans. Disney’s pondering was that having its personal mannequin would give it a aggressive benefit if different studios used publicly obtainable choices like Runway, Adobe’s Firefly or Moonvalley’s Marey, amongst others, the particular person mentioned.
This got here at a time when the trade was shopping for into the hype of AI and making massive bets.
“A 12 months in the past, there was some huge cash being thrown into AI as an end-all-be-all resolution,” mentioned a VFX producer who wished to not be named due to his relationships with totally different media corporations.
However as studios look to make use of gen AI to bolster VFX work on tasks within the pipeline, it’s clear that the know-how isn’t prepared. The producer famous that AI struggles to create constant imagery lengthy sufficient to final the size of a film, with even superior fashions like Sora working most successfully for brief TikTok-like clips. AI additionally struggles with delivering video at a excessive sufficient decision or proper high-dynamic vary colour format, amongst different technical necessities, the producer mentioned.
“In any case these tens of millions of {dollars} spent, they’re discovering out you possibly can’t ship what we’re used to delivering over the previous two to a few many years,” the producer mentioned. “It simply doesn’t meet the requirements.”
As well as, working with AI fashions means producing imagery by utilizing prompts, a much less exact methodology than working with conventional CG imagery, the place particular person parts might be labored on.
For instance, Coca-Cola earlier this month launched an AI-generated industrial and an accompanying video detailing the hassle put in to make it work. However the spot nonetheless appeared wonky, and elicited fast and vocal backlash.

An enormous a part of the issue is the problem concerned with coaching an efficient AI mannequin, significantly in case you have little content material to coach it with. One other hurdle was Disney forbidding the staff from utilizing its personal huge library of movies and tv reveals to coach the mannequin, the particular person mentioned, over concern in regards to the potential authorized legal responsibility.
That stands in distinction to Lionsgate’s take care of Runway, the place the studio’s library of content material was used to coach a customized Runway mannequin for the studio. However as we reported, that breadth of content material wasn’t adequate to create a mannequin that might spit out an entire movie.
Nonetheless room for AI
AI is already being utilized on the massive studios, however in smaller, much less flashy methods. Common VP of Inventive Applied sciences Annie Chang mentioned at TheWrap’s TheGrill enterprise convention that manufacturing executives are utilizing AI to interrupt down scripts and manage them into environment friendly capturing schedules, or utilizing generative AI to create tough visible approximations of concepts and ideas.
A number of executives have talked about using AI as a device to hurry up pre-viz, or the pre-visualization of scenes. Or it may be used to cheaply and successfully dub content material into totally different languages. These are options that Disney is probably going engaged on, if it hasn’t already applied them.
The issue is none of those purposes of gen AI are significantly attractive — or save some huge cash.
The large swing of AI really creating scenes or producing eye-popping visible results with a fast written immediate requires even smarter and extra highly effective fashions, and people working within the know-how acknowledge that it’s not fairly there but.
That doesn’t imply these fashions and the methods received’t get higher and smarter over time as new improvements emerge that may correctly harness the facility of AI. However as Iger instructed along with his feedback, they most likely received’t be popping out of Disney.
