Ever since AI tools became mainstream, filmmakers, writers, and actors have been trying to figure out if these technologies can actually help their creativity, or if they could end up replacing humans. But there’s a bigger concern we need to address before we get carried away by the debate: AI can’t work without massive data centers and energy infrastructure.
A new consortium, called Utopai East, aims to address this need by developing infrastructure specifically for the production of films and TV shows using AI. The joint venture is owned 50-50 by an investment company Stock Farm Road (SFR) and AI film and television production company Utopai Studios.
SFR, co-founded by Brian Koo (grandson of LG Group founder Koo In-hwoi) and Amin Badr-El-Din, founder and CEO of BADR Investments, is contributing capital to the joint venture, along with creative expertise and industry contacts. Utopai, meanwhile, provides the technology, workflow and infrastructure.
The project will also include the co-production of film and television projects and the expansion of access to Korean intellectual property for international audiences. Production will begin using the existing infrastructure, and the company expects the first piece of content from this partnership to be released next year, according to Cecilia Shen, co-founder and CEO of Utopai Studios.
In the short term, the use of artificial intelligence will mainly be aimed at reducing costs and increasing efficiency, Koo told TechCrunch.
“But beyond that, we’re very excited about the new possibilities that AI opens up. As we interact with creators, we’re exploring what completely new things can become possible. Right now, some of our first focus is on creators in Korea,” Koo said. “As short-form content was a novelty when it first appeared, we see opportunities for new approaches. We work not only with established directors in cinema but also with new, innovative creators who are not limited to traditional films.”
But innovation alone will not assuage the concerns of people who work in the entertainment industry or those who consume the content. Artificial intelligence could one day replace humans in creative roles such as acting, performanceand writingyet it often lacks the depth, nuance and emotional resonance of human storytelling. This has sparked a wider debate about the value of human creativity in an age when machines can mimic, but not completely, the human touch.
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However, Shen and Koo argue that the use of artificial intelligence is only aimed at improving existing processes. “These questions have been at the heart of everything we build at Utopai Studios,” said Shen. “From the beginning, our focus has never been on automation. Our workflow is designed to work alongside filmmakers, not instead of them. We still need writers to write, directors to direct, and actors to act,” Shen said.
Every model and dataset used is fully licensed and contractually approved, ensuring that the technology respects the creators whose work makes movies possible, Shen added.
“We want creators to understand that AI can expand their creative potential rather than compete with them. It can help them realize their dreams, giving them the freedom to fully explore their creativity without worrying that AI will replace them. This, we believe, will be one of the most exciting outcomes for us,” said Koo.
“Typically, content and IP grow incrementally — one IP is developed after another — but with the right technology, especially AI, there’s potential for exponential growth. It’s not about AI replacing humans, it’s about the enormous value it can create for audiences, creators and engineers,” he added.
The deal follows SFR’s recent deal with the Jeollanam-do provincial government for construction a 3 gigawatt AI data center in South Korea;.
“The data center is part of our larger mission at Stock Farm Road to create the backbone for the next generation of intelligence-based industries. Beyond Utopai Studios and entertainment, we’re also focusing on areas like manufacturing, energy-to-information, artificial intelligence and quantum computing. These are all interconnected fields that require the same kind of infrastructure.”
The data center will serve as the foundation for everything Utopai East develops and will include a full AI infrastructure for entertainment content, data management, creative intelligence, production and distribution.
While financial details of the joint venture were not disclosed, the capital comes from multiple channels, including SFR’s investment vehicles, global sovereign and institutional investors and industry partners in film and entertainment, the company said.
The JV will start producing Korean content, but aims to expand to other parts of Asia eventually. “Japan is always a great market as well,” making it a natural starting point for expansion, Shen noted, adding that she also sees significant potential in China and Thailand.
