The new US administration is irritating the "West" with a new interpretation of the liberal-democratic value system and is probably also causing increasing uncertainty in its own country. The number of projects and companies willing to emigrate is rising. Germany is also benefiting from this. While local funding was still unpopular in international comparison not long ago, the global framework conditions have changed. The very short-term loss of Austrian funding has shaken confidence in our neighbouring country and is causing short-term relocations. And even when it comes to the anxiety-ridden topic of AI, the new collective agreement now offers a constructive view of the opportunities and is able to better manage the risks. The industry drew new motivation first-hand, not from the press or internet blogs, but from personal encounters and conversations. The Berlinale has once again promoted international exchange and underpinned the planning strategies for 2025 with positive facts.
The migration trend had already been described by the US trade press for some time. The delegation's trip in November was therefore also characterised by a strong interest in European production opportunities. Austria had impressively demonstrated the power of attraction that a good promotion concept can develop. Within a very short space of time, the relatively small country had become one of the top locations in Europe, alongside the UK, Hungary and the Czech Republic. Due to delayed reforms and poor communication, Germany lacked a solid basis for reliable planning decisions. In the meantime, there is a revised FFG and signals from most of the parties that they are prepared to take significantly more risks - after the election.
The political situation in Austria probably made it difficult to resolve a problem with European regulation in the short term. It was rumoured that large sums of money had to be quickly saved in the national budget and that successful film funding was probably part of the collateral damage. The reputational damage is now in the world and is leading, at least in the short term, to an increase in production enquiries. Service and co-productions were a big topic in the Berlin festival circuit. Shooting in Germany is the basis for production expertise, for retaining skilled workers and also for safeguarding the technical companies that always invest in advance to ensure a functioning film location. One can justifiably hope.
In addition to the general economic situation, the influence of artificial intelligence has taken centre stage for many filmmakers over the past year. In the film industry in particular, the potential applications seem limitless. This not only triggers storms of enthusiasm and unsettles entire trades. Today, however, it is becoming increasingly clear where the use of new technologies can make a meaningful contribution to greater quality and improved competitiveness. The medium-term future of AI clearly lies in supporting processes, enhancing planning and development, as well as in customisation.
An investment in a film project is based on the assumption that neighbouring rights can be exploited worldwide for decades. Regulatory and legal uncertainties jeopardise the value of such an investment and, in the worst case, can lead to a total loss. This is good news for actors and other creatives whose work can be seen in the image. The exploitation rights of works created by humans are legally secure and established in terms of exploitation. These uncertainties exist for artificially generated content.
However, this aspect is not quite as relevant for short formats or content with a short utilisation period. AI is already doing a fantastic job in preparation and development. At last, decisions are being made on the basis of visible pre-visualisation and different variants, rather than on a purely text-based script and concepts. For audiovisual end products, the principle of prototyping and visual pre-planning is crucial for quality assurance.
In keeping with the Ensider motto "know, know, meet", industry participants exchanged ideas at the various networking events. We have had an intensive few weeks with the "Filmszene Bayern auf Eis", the "Executive Networking" at Plazamedia, the "AI Fusion in Film + TV" in Berlin, the "Ensider Production Breakfast - Berlinale" and yesterday's "Green Tec Day" organised by the VTFF.
We wish all partners a good end to the Berlinale.
Yours Markus Vogelbacher - and the Ensider:Team
