Lionsgate Studio Vice Chairman Michael Burns says artificial intelligence is already cutting major costs and could reshape who owns Hollywood studios in the near future.
Speaking at the Gabelli Sports and Media Symposium in New York, Burns said the company expects AI tools to save “tens and tens of millions of dollars a year.” He pointed to rapid growth in the technology and compared its pace to Moore’s law, calling it “on crack” due to how quickly it is evolving. Burns said Lionsgate is using AI across several parts of production. These include building budgets, planning shots, and previewing films before they are fully made. He said these tools are not theoretical. They are already delivering measurable savings for the studio.
The executive also suggested that actors, many of whom have raised concerns about AI, may eventually embrace the technology once they see financial benefits. Burns said there is a path for performers to license their likenesses in a way that allows everyone involved to profit, as long as agreements are clearly defined.
“Actors’ likenesses, with cooperation, I think that there’s a participation with them. Everybody can monetize it together,” Burns said. He added that industry protections will likely come through negotiated agreements among stakeholders. Burns also raised concerns about broader financial pressure across the entertainment industry. He said studios are struggling to show growth through traditional means, which increases the appeal of partnerships and acquisitions.
“You want to show growth and you only have two ways to show growth, which is organically, which is really hard to do, or inorganically, which is by doing deals,” Burns said. He described Lionsgate as an attractive strategic partner in a shifting market. Burns pointed to private equity firms, media companies, and foreign sovereign wealth funds as potential partners. He placed special emphasis on AI companies, citing their rapid valuation increases and access to large amounts of capital.
Lionsgate has worked with AI firm Runway since 2024. The company is now valued at $5.3 billion, reflecting the surge in investor interest in artificial intelligence. Burns recalled joking with Runway CEO Cristóbal Valenzuela about a possible acquisition. He said the situation may have flipped as AI companies grow faster than traditional studios.
“Maybe someday, we’ll buy you,” Burns said he told Valenzuela at the start of their partnership. He added that the Runway CEO may now be reconsidering that idea as valuations climb.
The comments reflect a growing belief inside Hollywood that AI is not just a production tool but a financial force that could shift control of major studios. That prospect raises new questions about creative ownership, labor, and the long-term direction of the entertainment business.
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English (US) · 