Runway Partners with Lionsgate in First-of-its-Kind AI Collaboration

Rhea-AI Summary

Lionsgate (NYSE: LGF.A, LGF.B) and Runway have announced a groundbreaking AI collaboration, marking the first partnership between Runway and a Hollywood studio. Runway will create and train a custom AI model based on Lionsgate's proprietary film and television content. This model will generate cinematic video to augment the work of Lionsgate Studios' creative talent.

Lionsgate Vice Chair Michael Burns emphasized the potential for capital-efficient content creation, with filmmakers already exploring applications in pre- and post-production. Runway's CEO, Cristóbal Valenzuela, highlighted the partnership's role in advancing artistic expression through technology. This collaboration aims to enhance storytelling capabilities and provide innovative tools for the creative process.

Positive

• First-of-its-kind AI partnership between Lionsgate and Runway
• Custom AI model trained on Lionsgate's proprietary content portfolio
• Potential for capital-efficient content creation
• Augmentation of pre-production and post-production processes

Negative

• None.

Tech Expert

This partnership between Lionsgate and Runway marks a significant milestone in the integration of AI into mainstream film production. The customized AI model, trained on Lionsgate's proprietary content, could revolutionize pre- and post-production processes, potentially leading to substantial cost savings and creative enhancements.

However, it's important to consider the implications for the workforce. While AI can augment human creativity, it may also displace certain roles in the production pipeline. The long-term impact on job markets in the entertainment industry remains uncertain.

From a technical standpoint, the success of this venture will largely depend on the quality and diversity of the training data, as well as the sophistication of Runway's AI algorithms. The ability to generate "cinematic video" that meets Hollywood standards is an ambitious goal and the results will be closely watched by the entire industry.

Financial Analyst

This partnership could potentially be a game-changer for Lionsgate (NYSE: LGF.A, LGF.B). By leveraging AI in content creation, the company may be able to significantly reduce production costs and accelerate project timelines, potentially leading to improved profit margins.

However, investors should be cautious. The initial investment in AI technology and the ongoing costs of maintaining and updating the system could be substantial. The return on investment (ROI) will depend on how effectively Lionsgate can integrate this technology into its existing workflows and whether it truly enhances the quality and marketability of its content.

While this move positions Lionsgate as an innovator in the industry, it also exposes the company to new risks, including potential backlash from industry professionals and unions concerned about job displacement. Investors should monitor how this initiative impacts Lionsgate's financial performance and industry relationships in the coming quarters.

Market Research Analyst

This collaboration between Lionsgate and Runway signals a potential shift in the competitive landscape of the entertainment industry. As the first major studio to embrace AI in this capacity, Lionsgate is positioning itself as a technological innovator, which could attract forward-thinking talent and partners.

However, the market's reception to AI-enhanced content remains uncertain. While there's potential for increased efficiency and novel creative approaches, there's also a risk of audience pushback if the use of AI becomes too apparent or is perceived as replacing human creativity.

This move could trigger a ripple effect across the industry, prompting other studios to explore similar partnerships. We may see a surge in AI-related investments and collaborations in the entertainment sector, potentially reshaping the industry's technological landscape and content creation processes in the coming years.

SANTA MONICA, Calif. & NEW YORK--(BUSINESS WIRE)-- Global content leader Lionsgate (NYSE: LGF.A, LGF.B) and leading applied AI research company Runway today announced a first-of-its-kind partnership centered around Runway’s creation and training of a new AI model, customized to Lionsgate’s proprietary portfolio of film and television content. Exclusively designed to help Lionsgate Studios, its filmmakers, directors and other creative talent augment their work, the model generates cinematic video that can be further iterated using Runway’s suite of controllable tools. The partnership is the first collaboration between Runway and a Hollywood studio.

“Runway is a visionary, best-in-class partner who will help us utilize AI to develop cutting-edge, capital-efficient content creation opportunities,” said Lionsgate Vice Chair Michael Burns. “Several of our filmmakers are already excited about its potential applications to their pre-production and post-production process. We view AI as a great tool for augmenting, enhancing and supplementing our current operations.”

“We’re committed to giving artists, creators and studios the best and most powerful tools to augment their workflows and enable new ways of bringing their stories to life. The history of art is the history of technology and these new models are part of our continuous efforts to build transformative mediums for artistic and creative expression. The best stories are yet to be told,” said Runway co-founder and CEO Cristóbal Valenzuela. “Lionsgate has an incredible creative team and a clear vision for how AI can help their work – we’re excited to help bring their ideas to life.”

About Lionsgate Studios

Lionsgate Studios (Nasdaq: LION) is one of the world's leading standalone, pure play, publicly-traded content companies. It brings together diversified motion picture and television production and distribution businesses, a world-class portfolio of valuable brands and franchises, a talent management and production powerhouse and a more than 20,000-title film and television library, all driven by Lionsgate's bold and entrepreneurial culture.

About Lionsgate

Lionsgate (NYSE: LGF.A, LGF.B) owns approximately 87% of the outstanding shares of Lionsgate Studios Corp. (Nasdaq: LION), one of the world’s leading standalone, pure play, publicly-traded content companies, as well as the premium subscription platform STARZ.

About Runway

Runway is an applied AI research company shaping the next era of art, entertainment and human creativity. The company conducts research in multi-modal AI systems, builds infrastructure to safely deploy models, and invents products and applications that leverage new techniques for multimedia content. To learn more visit runwayml.com/research and www.runwayml.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240918322724/en/

For media inquiries:

Peter D. Wilkes

Lionsgate

310-255-3726

pwilkes@lionsgate.com

Cole Garry

Runway

runway@sbscomms.com

Source: Runway

FAQ

What is the new partnership between Lionsgate and Runway?

Lionsgate and Runway have partnered to create a custom AI model trained on Lionsgate's proprietary content, designed to generate cinematic video and augment the work of Lionsgate Studios' creative talent.

How will the AI collaboration benefit Lionsgate (LGF)?

The collaboration aims to develop cutting-edge, capital-efficient content creation opportunities for Lionsgate (LGF), enhancing pre-production and post-production processes for filmmakers and directors.

What makes the Lionsgate-Runway partnership unique in the film industry?

This partnership is the first collaboration between Runway, an applied AI research company, and a major Hollywood studio like Lionsgate, potentially setting a new precedent for AI use in film production.

How does Runway's AI technology work with Lionsgate's content?

Runway's AI model will be trained on Lionsgate's proprietary film and television content to generate cinematic video that can be further modified using Runway's suite of controllable tools.