Bain & Company has published a new report examining the effects of artificial intelligence (AI) on content creation and discovery in the media and entertainment sectors, exploring the balance between human creativity and AI-assisted production.
Content flood
The report, titled “Not Yet, Robots: How to Win in Media’s Flooded Era,” analyses the role of AI across various media formats including news, social media, music, film, books, podcasts and live events. The research highlights a fundamental shift towards a “flooded era” of content, in which the volume of material produced has grown substantially – largely driven by the accessibility of AI tools for both professional and independent creators.
Kuba Tymula, Expert Partner in Innovation & Design practices at Bain & Company, commented on this shift:
“The flood is real! As AI tools became more prevalent, creators have been publishing faster and more often, driving down the cost of ‘good enough’ content. The upside though, is that independent creators can get a genuine productivity boost from AI, enabling them to focus more on originality and audience engagement than mechanics of content production.
“Bain’s research is clear – consumers won’t accept fully AI-generated content, and the human touch is essential in building content that feels authentic and cuts through.
“For incumbents, efficiency matters a lot, but it shouldn’t come at the expense of the craft. The real opportunity is to apply AI in non-creative areas like distribution, analytics, and operational support, while keeping the writer’s room, newsroom, and studio focused on creativity that differentiates.
“In Australia, proven IP and trusted brands already hold an edge in a crowded and highly concentrated landscape. For mastheads, broadcasters, and production houses, that trust is an asset in itself. ‘Human-created’ content can be a point of distinction and advantage – something to signal, reinforce and turn into long term value, while responsibly using licensed AI assistance to support creators.”
Shifting audience engagement
According to Bain, media consumption has never been higher, and it is increasingly participative and social. The report cites survey results showing over three-quarters of US respondents use social media regularly, with younger audiences more likely to post about live events or create content that goes beyond personal sharing. Notably, nearly 80% of respondents reported multitasking across several media types – such as using social media while viewing video content – a trend that results in more fragmented attention spans and, consequently, lower engagement and advertising value.
The emergence of AI-driven personalisation is expected to influence how audiences engage with content. The report discusses the potential for AI agents to become more effective at curating individualised content, which could shift the influence from centralised platforms towards tailored discovery experiences.
Operational impacts and industry adaptation
One of the headline findings concerns efficiency in media production. AI has made it significantly cheaper and faster to generate certain types of content. The report references examples like Japanese writer Rie Kudan, who used generative AI in crafting award-winning fiction, as well as successful AI-supported animation on platforms like YouTube.
However, Bain finds that “good enough” content, while becoming more common, rarely replaces premium creative work in the eyes of consumers. AI adoption does enable smaller studios and independent creators to compete with major entities, as cost reductions and increased output become accessible at a smaller scale. Large established studios are being encouraged to adopt AI tools for their operational benefits, such as analytics and distribution, while maintaining craft-oriented creative processes in core areas like scriptwriting and production design.
Human creativity remains central
The report underlines that skilled human input is still regarded as critical to content quality and audience trust. Survey results illustrate consumer reluctance to embrace content that is fully AI-generated: over 70% of readers, 60% of music listeners, and nearly 60% of video viewers in the US are less likely to engage with content if it is known to be produced entirely by AI. Bain suggests that media companies could use the “human created” label as a point of differentiation in the crowded market, in a manner similar to how “fair trade” has been used for consumer goods.
Established franchises and intellectual property (IP) are viewed as important assets, with Bain noting that familiarity and trust in brands continue to guide audience choices, both in music and visual media. While AI’s role in content creation is growing, it is not expected to diminish the relevance of existing creative talent pipelines or the emotional connections that audiences form with known creators and properties.
Monetisation developments
The report also reviews how monetisation models are being affected by these changes. While core methods, such as subscription tiers and digital advertising, remain largely stable, there is emerging potential in areas like hyper-personalisation and fan engagement – using data and AI to deliver exclusive content or branded experiences. Integrations across media and retail sectors, shoppable content, and more immersive ad formats are also identified as growth opportunities.
Bain concludes that although the “flooded era” of AI-assisted content poses operational and strategic challenges, creative differentiation will be significant for success. Investment in talent, careful integration of emerging technologies, and a focus on trusted content and brands are key recommendations for media companies navigating this evolving environment.