Bollywood embraces AI for cost efficiency and revenue growth. Major studios like Ajay Devgn's Lens Vault Studios are launching AI-driven content, with short films costing between fifty lakh and fifteen crore rupees depending on scale. While production expenses drop significantly, monetization remains challenging due to low YouTube CPM rates in India and brand hesitation around copyright and authenticity concerns. Experts identify five revenue streams including brand partnerships, OTT licensing, regional series production, catalogue revival through dubbing and re-releases, and AI production services for corporate clients. Though demand for AI content grows, the industry faces hurdles with inconsistent ad revenue and perceived quality gaps in realism and emotional depth that could impact long-term profitability and investor confidence in this emerging sector.
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