The Transformation of the Creator Economy Through AI | Insights by Jim Louderback

The Transformation of the Creator Economy Through AI | Insights by Jim Louderback

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Jim Louderback has experienced multiple generations of tech media. He’s a prominent figure blending publishing, media, and technology. In the 1990s, he wrote and edited tech magazines, and from 1998 to 2000, he hosted TechTV’s Fresh Gear show. He became the editor-in-chief of Ziff Davis’ internet media properties, overseeing PC Magazine and others. Jim has also built and sold several creator economy startups to media giants like WB Discovery and Paramount. He has led various media firms, including Revision3, and in 2017, he succeeded Hank Green as CEO of VidCon. At VidCon, he has served as the editorial director of the industry programming track. I recently caught up with him at the Web Summit in Lisbon, Portugal, where he hosted a verified stage and moderated a session. We discussed the rise of the creator economy and its future alongside artificial intelligence.

The creator world evolves rapidly. YouTubers disrupted traditional media, and now AI VTubers may challenge established creators. Jim and I discussed universal basic income for creators and how this could be a sustainable profession despite potential job losses due to AI.

Jim writes the weekly LinkedIn newsletter “Inside the Creator Economy,” speaks at global events, and collaborates with creator economy startups.

GamesBeat: The creator economy fascinates me. From your perspective, is achieving fame as a creator about luck and talent, or will it become more accessible for many people?

Jim Louderback: There are different ways to see it. Fame often goes hand-in-hand with money in the creator economy, but you can be successful without being famous. Fame doesn’t always mean having millions of followers like TommyInnit or Loren Gray. It’s true that a small number of creators capture most of the attention and revenue, but we’re also seeing the rise of a global middle class of creators. These creators can find their audience and generate enough income to sustain a comfortable lifestyle.

Brands are learning to work with numerous creators focused on specific audiences. This shift is promising. At Web Summit, AI was a hot topic. AI could empower famous creators to be more productive and creative, and it could help emerging creators advance in their careers.

Managing many smaller creators can be challenging for brands, but AI can help by assessing creators’ past content for brand suitability and quickly analyzing new videos. This technological assistance makes it easier for brands to scale their collaborations.

An example I saw at the summit is Rembrandt, a company that enables product placement post-editing, particularly relevant for video podcasts. This innovation allows podcasters to add branded content seamlessly into their videos without prior knowledge of the brand.

GamesBeat: So AI can help identify popular content and integrate ads post-production?

Jim Louderback: Yes, but it’s more than ad serving. It involves taking the final video product and embedding the brand post-edit in about 24 hours.

GamesBeat: And there’s AI with VTubers too, right? They’re essentially virtual actors or avatars for humans.

Jim Louderback: Exactly. VTubers, who might use motion capture suits to turn into anime characters, are different from fully AI-created personas. For instance, Code Miko started as a VTuber but has since included her real persona. We’re seeing more AI-powered creators, resembling puppets that can simulate connections with audiences. These AI influencers could help creators replicate themselves and expand their reach. Such technology provides brands with AI influencers who work tirelessly, like the Duolingo Mascot at VidCon, which was highly popular.

AI won’t replace creators but will offer them new ways to monetize and extend their creativity.

GamesBeat: Traditional media appears weaker than ever, with fewer outlets and a growing creator-dominated space. What’s your take?

Jim Louderback: It’s a continuation of trends we’ve observed. Print magazine publishers shifted to internet blogs, and it’s now happening with new media platforms like TikTok. Quality content from sources like VentureBeat or Polygon is still valid gaming journalism. Media consumption is becoming more personality-driven, with many relying on platforms like TikTok. The key is how well these new platforms and journalists will adapt to maintain their relevance.

GamesBeat: Comparing traditional media to the creator space, like how Call of Duty creators vastly outnumber traditional journalists, there’s a clear preference for creators’ authenticity.

Jim Louderback: It depends on the content type. Journalists provide scoops and deeper insights on future releases, while creators offer tips, tricks, and entertaining content. This demarcation shows the diverse ways audiences consume information and entertainment.

GamesBeat: The younger audience of creators like TommyInnit suggests a generational preference. Do you see a cyclical trend where creators must continuously adapt?

Jim Louderback: Yes, there’s a lifecycle in the creator space. Creators like TommyInnit must adapt as their audience ages or attract new, younger followers. Some creators manage to stay relevant, while others pivot to corporate roles, leveraging their skills acquired on platforms like YouTube or TikTok.

GamesBeat: This seems similar to the career trajectories of athletes.

Jim Louderback: Exactly. Some transition to coaching or endorsements. It’s a dynamic career path where experience in the creator economy can lead to opportunities in traditional corporate environments.

GamesBeat: What about AI’s impact on jobs? It’s predicted to eliminate many roles, potentially leading to universal basic income. Could gaming and creator jobs become a new norm?

Jim Louderback: AI will boost productivity, akin to past technological revolutions. Higher productivity usually uplifts the economy. It’s conceivable that increased productivity from AI could support universal basic income, especially for creators. This could enable people to pursue creative endeavors or enjoy more leisure time, ensuring a more balanced lifestyle.

GamesBeat: So, AI might offer a future with reduced work weeks and more time for creative pursuits.

Jim Louderback: Absolutely. Though there will be challenges, these changes could ultimately lead to more fulfilling lives and opportunities.

GamesBeat: You’ve constantly evolved with the changing media landscape. What’s next for you?

Jim Louderback: I’ve transitioned through various media formats, from print to television to online video. My focus is on continuing to contribute to the evolving creator economy, building an independent media presence and leveraging my experience to guide future media innovations.