{"id":245840,"date":"2026-05-28T00:49:17","date_gmt":"2026-05-28T00:49:17","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/245840\/"},"modified":"2026-05-28T00:49:17","modified_gmt":"2026-05-28T00:49:17","slug":"go-ask-alice-why-tech-start-ups-are-spending-big-on-hype-videos","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/245840\/","title":{"rendered":"Go Ask Alice Why Tech Start-Ups Are Spending Big on Hype Videos"},"content":{"rendered":"<p class=\"css-ac37hb evys1bk0\">On a Monday afternoon in an Oakland, Calif., warehouse, actors dressed as Alice and the Mad Hatter and a man wearing a giant rabbit head sat around a table on a black-and-white checkered floor.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The Mad Hatter lifted a silver teapot and said in a high-pitched voice, \u201cWhat is our A.I. search strategy?\u201d A director called cut and told the actor to look straight into the camera lens in the next take.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Like many things in the Bay Area these days, the surrealist scene on a bustling set of about 20 film crew members was funded by an artificial intelligence start-up. Daydream, an A.I. marketing services company, orchestrated the $80,000 video shoot to announce a $15 million funding round <a class=\"css-yywogo\" href=\"https:\/\/www.linkedin.com\/posts\/thenuka_today-im-announcing-daydreams-15m-series-ugcPost-7445173379998834688-mEj_?utm_source=social_share_send&amp;utm_medium=member_desktop_web&amp;rcm=ACoAACEYfakB5W-M1rFRPHFg7zgwEPbq2kx-IhU\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">in a social media post<\/a>.<\/p>\n<p class=\"css-ac37hb evys1bk0\">San Francisco\u2019s young A.I. companies have shelled out tens of thousands of dollars for film crews and camera equipment to make highly produced hype videos for social media. Fueled by a venture capital funding frenzy, founders are aiming for memorable \u2014 maybe even viral \u2014 videos to help recruit talent and simply get attention in an increasingly crowded field.<\/p>\n<p class=\"css-ac37hb evys1bk0\">And many of these A.I. start-ups are embracing traditional video production, rather than doing it on the cheap with A.I., because they don\u2019t want them to look unprofessional.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cEveryone can build start-ups very quickly now, so in a way, it\u2019s more competitive and the fight to be noticed is much higher,\u201d said Thenuka Karunaratne, founder and chief executive of Daydream.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Having a good story is just as important as having good technology, young tech entrepreneurs are being told by the people pouring money into their start-ups. Tech companies and venture capital firms are investing in new media ventures and \u201cstorytellers,\u201d the tech term du jour for marketers.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Mr. Karunaratne, 29, figured his Alice in Wonderland homage \u2014 which took two days to film and included actors, a live white rabbit and a $2,000 rental fee for that costume head \u2014 would pay for itself as long as it attracted just one new customer.<\/p>\n<p class=\"css-ac37hb evys1bk0\">A.I. start-ups like Daydream, he said, are willing to spend on attention-grabbing stunts because funding rounds are bigger and founders have more money \u201cto play with.\u201d<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThe bigger risk for any of these founders is less like running out of money and it\u2019s more the fear around: Will you get to realize the vision and scale of the company to win the category before someone else?\u201d he said.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Lindsay Amos, an experienced marketer for Silicon Valley start-ups and venture capital firms, said that \u201cthere seems to be 50 start-ups working on the exact same thing, and often the differentiator comes down to marketing.\u201d<\/p>\n<p class=\"css-ac37hb evys1bk0\">Over the past year, she said, hiring film crews to make high-quality videos has become the default for start-ups that want to get noticed online. One of the standout examples that ignited this trend was <a class=\"css-yywogo\" href=\"https:\/\/x.com\/im_roy_lee\/status\/1914061483149001132?s=20\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">a viral video by Cluely<\/a>, an A.I. software start-up, that cost about $140,000 to make, said Richard Zheng, 18, who directed the video.<\/p>\n<p class=\"css-ac37hb evys1bk0\">In a less-than-two-minute scripted sketch, it shows Cluely\u2019s chief executive, Roy Lee, using his A.I. software to prompt him with information to lie about his age and life experience on a first date with a woman. The date fizzles out, and the video ends with the company\u2019s tagline to use A.I. to \u201ccheat on everything.\u201d<\/p>\n<p class=\"css-ac37hb evys1bk0\">A couple of months after releasing this video, Cluely raised $15 million in funding from the Silicon Valley venture capital firm Andreessen Horowitz. The company has continued to post outrageous videos, but changed its tagline and is marketing the business as an A.I. meeting assistant and note taker.<\/p>\n<p class=\"css-ac37hb evys1bk0\">A common feature of these videos, Ms. Amos said, is that founders are often a main character or make a cameo.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Arlan Rakhmetzhanov, 19, the founder of an A.I. start-up called Nozomio, <a class=\"css-yywogo\" href=\"https:\/\/x.com\/arlanr\/status\/1973387425524097451?s=20\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">shot a roughly one-minute video<\/a> in downtown San Francisco that mimics one of his favorite parts of the film \u201cThe Social Network.\u201d He plays a young Mark Zuckerberg-like founder who yells and curses at a room of investors to announce his $6.2 million funding round.<\/p>\n<p class=\"css-ac37hb evys1bk0\">In the past, Ms. Amos said, tech companies waited years before investing in a big television commercial. Facebook had its first commercial in 2012, eight years after the company, now Meta, was founded.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Aaron Epstein, a general partner at the San Francisco start-up incubator Y Combinator, said he encouraged founders to launch as early as possible to get immediate feedback from potential customers online. Don\u2019t delay by spending months stressed out about editing the perfect video, he tells them.<\/p>\n<p class=\"css-ac37hb evys1bk0\">He added that high production values were not a requirement, but that they can help a young start-up look \u201clike a serious company\u201d to potential customers. Many of these A.I. start-ups are run by <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/08\/04\/technology\/ai-young-ceos-san-francisco.html\" title=\"\" rel=\"nofollow noopener\" target=\"_blank\">founders in their early 20s<\/a> who are using A.I. to make A.I. software products that they want to sell to big businesses.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cIf people knew it was just, you know, two people in a living room that hacked this thing together over the last few weeks, people might not trust it as much, and so it\u2019s one way to build trust with the audience,\u201d Mr. Epstein said.<\/p>\n<p class=\"css-ac37hb evys1bk0\">He added that A.I. video tools were also making it possible for more people to make creative videos on a tight budget and on a short timeline.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Still, Jason Zhu, a co-founder of Nen Creative, the marketing agency behind Daydream\u2019s launch video, said there was a lot of demand from start-ups for human-made videos. Mr. Zhu, who runs the company with his brother Michael Zhu, said their team was working on an average of one or two video shoots per day, five days a week.<\/p>\n<p class=\"css-ac37hb evys1bk0\">He said they had lost one deal to A.I. video tools after the potential customer decided that the shoot was too expensive for the company\u2019s budget. Customers occasionally ask if they can use A.I. to speed up production, which Mr. Zhu pushes back on because the technology can\u2019t give him the quality he wants. But he\u2019s not worried that artificial intelligence will completely replace his business, he said.<\/p>\n<p class=\"css-ac37hb evys1bk0\">More companies are also hiring Nen Creative to do documentary-style videos about the start-up or its customers, Mr. Zhu said.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cPeople want real stories to show real customers, and A.I. can\u2019t do that,\u201d he added.<\/p>\n<p class=\"css-ac37hb evys1bk0\">While using A.I. to make a video is easier and cheaper, Kim Huong Tran, Daydream\u2019s head of marketing, said she didn\u2019t want the company to look sloppy.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cI feel like people would know,\u201d she said. \u201cIf we had done that, it would just feel very cheap.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"On a Monday afternoon in an Oakland, Calif., warehouse, actors dressed as Alice and the Mad Hatter and&hellip;\n","protected":false},"author":2,"featured_media":245841,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[90081,66,2051,9058,92458,9,11,10,2990,36015,9057],"class_list":["post-245840","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york","tag-andreessen-horowitz","tag-artificial-intelligence","tag-computers-and-the-internet","tag-downloads-and-streaming","tag-facebook-inc","tag-new-york","tag-new-york-headlines","tag-new-york-news","tag-small-business","tag-start-ups","tag-video-recordings"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/245840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=245840"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/245840\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/245841"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=245840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=245840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=245840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}