TRENDS Research & Advisory has released a new English-language study titled “AI in Entertainment: Balancing Innovation and Data Protection”, authored by TRENDS senior researcher Melek Öztürk. The study explores the growing role of artificial intelligence in the entertainment industry and its impact on content creation, personalized experiences, and audience engagement.

The research highlights the transformative shifts AI is driving across the entertainment sector, from AI-generated music and gaming to hyper-realistic visual effects. It emphasizes that these technologies are redefining how audiences interact with media.

The study notes a significant increase in global investments in AI infrastructure, with countries such as the United States, Saudi Arabia, France, and the UAE announcing substantial funding to support AI development. In 2024, AI accounted for 44% of venture capital-backed investments in the U.S., up from 25% in 2023.

However, the report also raises ethical and legal concerns related to data privacy, intellectual property rights, and regulatory compliance. It discusses emerging challenges, such as brainwave analysis and biometric tracking in gaming and virtual reality, which pose questions about cognitive privacy and data security.

The study underscores the need to balance innovation with responsible data usage and legal safeguards. It examines evolving regulatory frameworks for data protection, explores new challenges in the field, and suggests strategies for fostering innovation while ensuring ethical and regulatory compliance.

Furthermore, the study highlights the importance of collaboration between regulators, tech companies, and content creators to protect data and intellectual property rights. It calls for the development of unified frameworks for data protection and user privacy compliance. Additionally, it stresses the need to educate consumers about the ethical use of AI and digital rights.

The report concludes that while AI unlocks vast opportunities in the entertainment industry, ensuring robust data protection and ethical use is crucial to its sustainable development.