The latest episode of Denoised offers a thoughtful analysis of three significant developments reshaping media and entertainment production.

Hosts Joey Daoud and Addy Ghani unpack surprising results from ProdPro's production survey that reveals a major shift in preferred global filming locations, with the U.S. conspicuously absent from the Top 5. They also explore Promise AI's acquisition of Curious Refuge and what this signals about emerging AI-focused content studios. Finally, they discuss how a simple RGB color sensor could solve persistent challenges in virtual production.

Together, these stories paint a picture of an industry in transition, facing challenges but also discovering new opportunities through innovative approaches and technologies.

Global Production Hubs: Toronto Takes the Lead as California Falls Behind

The episode begins with a discussion of ProdPro's survey of 150 studio executives regarding their Top 5 preferred production locations. The results revealed a surprising shift in the global production landscape:

• Toronto

• United Kingdom

• Vancouver

• Central Europe

• Australia

Noticeably absent from this Top 5 is any location in the United States. California came in at number six, followed by Georgia, New Jersey, and New York. This represents a significant change for the American film industry, which has historically dominated global production.

"I was not expecting this," Addy remarks, "even given the current state of everything going on in L.A., I was not expecting to not even be in the Top 5."

Joey points out that several of these locations, particularly the United Kingdom, have implemented aggressive tax incentives to attract productions. The U.K. recently announced a 40% tax refund for productions, making it highly competitive against other locations.

The survey also uncovered widespread pessimism among industry crew members, with an overall negative sentiment rating of -23%. Australia was the only production hub where 50% of crew members expressed optimism about the industry's future. California had a particularly low optimism rate with only about 10% of respondents feeling positive about the future.

The hosts discuss how the film industry's global interconnectedness means that decisions made in California still affect production worldwide, despite its slip in rankings. During the recent writers' and actors' strikes, production paused globally, demonstrating California's continued influence over the industry.

Key Takeaways

• Toronto and Vancouver (both in Canada) hold two of the top three positions in preferred production locations.

• Tax incentives play a crucial role in attracting productions to locations like the U.K.

• Industry sentiment is predominantly negative, with California showing particularly low optimism

• Despite ranking sixth, California's industry decisions continue to have global impact

• Streaming platforms seek content from international markets to maintain subscriber growth and diversify content sources

As Joey points out, "If productions held up here, they got to get it from somewhere else... and that gives these other countries a chance to take the lead, which they have done here and surpass the U.S. in preferred [production locations]."

Promise AI: Reimagining the Content Studio Model

The second segment explores Promise AI, a new AI-focused content studio that launched in November 2023. Founded by former fullscreen CEO George Strompolos, former YouTube content executive Jamie Byrne, and commercial director and AI filmmaker Dave Clark, Promise AI represents an emerging model for content creation.

What sets Promise AI apart is their development of a proprietary AI production system called MUSE. While specific details about Muse remain limited, Joey shares insights from Dave Clark's presentation at the Hollywood Professional Association (HPA) Tech Retreat:

"The way that it was sort of described was it's an AI system that they're building... but the gist of the idea was building out a pipeline... connecting all of the models, whatever the workflow is, but building it in a way where when a new model comes out, which it does all the time, they don't have to rebuild their entire workflow. They can just swap out the model."

Addy suggests that Promise AI might be better described as an "AI VFX shop" or "AI technology company" rather than a studio in the traditional sense. He explains that traditional studios encompass talent management, real estate, distribution, and legal departments—aspects that might not be part of Promise AI's current structure.

The hosts contrast Promise AI's approach with traditional VFX companies that use a hybrid model combining traditional techniques with AI augmentation. Addy suggests that while traditional studios might be "using AI to generate some elements, but bulk of the work is done in Nuke," Promise AI might flip that ratio to "90% AI driven with 10%" traditional methods.

The acquisition of Curious Refuge, an AI training and education platform, further underscores Promise AI's commitment to developing talent capable of working in this new paradigm. As Addy notes, "If they're building out the studio, they're going to need people versed in AI tools... and that seems like a very logical acquisition."

Key Takeaways

• Promise AI is developing Muse, a modular AI system that allows for easy integration of new AI models

• The studio represents a shift toward AI-first content creation rather than the hybrid approach used by traditional studios

• Early AI-driven content is likely to focus on commercials and music videos before moving to longer-form narrative content

• The acquisition of Curious Refuge addresses the need for talent trained in emerging AI creative tools

• Human elements remain essential: "The trick and the magic... is to not generate the humans. So keep human performers intact, get your background done by AI, get all of the VFX done by AI"

The hosts predict that the initial output from AI-driven studios will likely be commercials and music videos—formats that historically embrace experimental techniques—before moving into narrative filmmaking. Joey suggests we might see AI-driven short films with consistent characters emerging this year.

RGB Color Sensor: Solving Virtual Production Challenges

The final segment explores how a simple consumer gadget—the Nix Mini 3 RGB color sensor—could solve persistent challenges in virtual production. Originally designed to help homeowners match paint colors, this $70 Bluetooth sensor provides precise RGB readings of physical surfaces.

Addy, self-described as a "gadget guy," immediately recognized its potential application for virtual production: "This is amazing for virtual production because 9 out of 10 times we are doing physical to virtual match."

The hosts explain that one of the persistent challenges in virtual production is ensuring color consistency between physical set pieces and digital environments. While proper calibration should theoretically solve this issue, real-world factors like paint mixing inconsistencies often create discrepancies.

"The current process now is if you do everything correctly there shouldn't be an issue," Addy explains. "Unreal has to output ACES 2065 or whatever and your wall has to be calibrated to that. And then Disguise or whatever media server has to be calibrated to that. By the time it comes out, it should be exactly the color you intend... But of course this is the real world and paint doesn't mix the right way."

While professional virtual production pipelines rely on camera LUTs and color management systems like Sony's Unreal plugin, ARRI’s Unreal plugin, or Netflix's OpenVPCal to ensure accurate color matching, the Nix Mini 3 offers a quick, practical solution for on-set adjustments.

Key Takeaways

• The Nix Mini 3 is an affordable ($70) RGB color sensor that connects to smartphones

• In virtual production, it can help ensure color matching between physical and digital elements

• While proper calibration should theoretically eliminate color matching issues, real-world factors often create discrepancies

• This tool offers a practical, accessible solution for virtual production studios of all sizes

Addy recommends that "every virtual production studio out there, put $80 in... just keep it in your drawer, next to your computer in the stage. Anytime there is a practical set match issue with color... this will be the shortcut that you need."

The Changing Landscape of Production

As the episode draws to a close, the hosts reflect on the interconnected nature of these developments and what they signal about the industry's future. The shift in production hubs, the emergence of AI-driven content studios, and the practical application of new technologies all point to an industry in transition.

Addy expresses optimism about AI-focused studios: "I'm really excited for the future AI VFX shops, quote unquote studios. It is definitely what we need in this world, especially after the technical collapse and us questioning what the future of the media and entertainment VFX world is."

Joey emphasizes the continued importance of human expertise: "We don't say this to VFX artists enough and they definitely deserve to hear this: you are the professional, you have the eye and you hold the quality bar and that's good regardless of what tool you use... It ultimately comes down to like, is it your eye, your tastes, your expertise in that knowledge versus your expertise in the tool?"

Addy adds, "Don't feel despaired. You know, there is hope. Pick up a couple of new tools, sort of retool yourself to be ready for this new world. Your other skill sets will still come in handy, but you'll need to complement with new skill sets."

They also discuss how new tools like those being developed by Promise AI might help emerging filmmakers visualize and pitch their ideas more effectively. Addy recalls how the Wachowskis had to rewrite The Matrix 26 times before finally getting it approved, suggesting that today's tools might help visionary filmmakers communicate their ideas more effectively.

"I feel like with the digital revolution as well, it's like there's going to be a lot more crap, a lot more noise," Joey notes, "But there's also going to be a lot of like new things that pop out of that."

Conclusion

This episode of Denoised highlights significant shifts occurring in media production, from the geographical redistribution of production hubs to the emergence of AI-driven content creation studios and practical technological solutions for persistent challenges. While the industry faces uncertainty and transition, these developments also present opportunities for innovation and growth.

As production continues to evolve globally, tools like those being developed by Promise AI and simple solutions like the Nix Mini 3 color sensor demonstrate how technology can address both creative and practical challenges. For industry professionals, adapting to these changes while leveraging existing expertise will be key to navigating this transitional period successfully.

For more insights into the evolving landscape of media, entertainment, and creative technology, be sure to listen to the full episode of Denoised and subscribe for new episodes every Tuesday and Friday at denoisedpodcast.com.