Walt Disney will begin investing in Artificial Intelligence (AI) that better captures users’ emotions to personalize advertising and increase its revenue. The company will create software called Disney’s Magic Words, which through an algorithm will identify people’s emotions and reactions when they watch a movie or content from its streaming platform.
You may be interested: OpenAI presents “Sora”, an AI model that converts text into video
With this information, Disney will be able to identify the mood generated by a scene or character in order to personalize ads.
“Brands can capture a specific moment, mood or emotion. Only Disney has the power to reach the right audience at the right time.”
According to the London Stock Exchange Group, the company’s advertising revenue fell almost three percent in the first fiscal quarter of this year to $3.35 billion, especially due to a decline in traditional television viewership.
Although Disney does not specify its advertising revenue, in its latest financial report it indicates that on its open and cable television channels there is a decrease in advertising revenue, contrary to streaming platforms, which have helped it attract subscribers.
According to Joe Earley, president of Disney’s direct-to-consumer business, half of consumers who sign up for Disney+ opt for the less expensive version of the ad-supported service.
During 2023, Disney recorded revenues of 23,549 million dollars, just 0.2 percent more than in the same previous period
This balance was largely due to growth in parks and attractions, as well as their streaming platforms.
At the end of 2023, the Disney+ service accumulated 149 million subscribers worldwide, while other services such as ESPN+ and Hulu (available only in the US and Japan) reached 25 and 49 million users, respectively.
Bob Iger, CEO of The Walt Disney Company, highlighted that the streaming section will begin to be profitable starting in the third quarter of this year.
“We have turned a corner and entered a new era for our company, focused on turning streaming into a profitable growth business, revitalizing our film studios and driving growth in our parks,” commented the director in the latest financial report. Meanwhile, Walt Disney’s net profits increased 49.4 percent compared to last year, with a total of $1,911 million, according to his latest financial report.
Another business where the entertainment company showed its interest was video games.
Disney announced an investment of $1.5 billion in Epic Games, a company that develops video games like Fornite, which brings together 100 million players every month.
➡️ Subscribe to our Newsletter and receive the most relevant notes in your email
Disney’s goal is to allow users to interact with stories and characters from franchises such as Marvel, Pixar and Star Wars through video games.
Disney is not the first company to bet on Epic Games, as companies like Lego and Warner Bros. have already worked to bring their franchises to video games.
2024-02-17 09:00:00
#Disney #capture #emotions #sell #Sol #México
