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Date:
December 21, 2021

Change is Coming in 2022

The past 12 months have seen significant change and disruption in the Media and Entertainment (M&E) industry. Due to the impacts of the persistent COVID-19 pandemic, consumers are now more accustomed to being entertained at home and on multiple devices. The growth of online subscriptions reached levels analysts had not predicted for another two or three years. For example, Disney+ achieved subscriber numbers that Netflix took seven years to reach. The amount of money spent to buy new content also increased, hitting $220B in 2021—the most ever by the industry.

Amongst this growth and disruption, Spherex is considering 2021 in the context of the media and entertainment industry's challenges in 2022. What are the "hot button" issues that should concern us? What events or trends will impact business? Are there technologies that help streamline processes or reduce costs?

Spherex asserts that three milestone events from 2021 will impact the Media and Entertainment industry in 2022.

1. Culture consciousness becomes unavoidable

There was a lot of culture-centric news across the industry in 2021. Several films were heavily censored or banned for violating religious or cultural norms. The British film " The Lady of Heaven " was banned for "hateful, divisive, and inciting racial prejudices" against Muslims and labeled " sacrilegious " in Pakistan. The Amazon Prime television series " Tandav " was banned in India over "undignified" representations of Hindu gods. The Vietnamese government forced Netflix to remove the Australian spy series " Pine Gap " over their use of a map of the South China Sea that "…angered and hurt the feelings of the entire people of Vietnam."

Not even classic film franchises or directors were immune from cultural penalties. The classic James Bond film franchise was censored at home and forced by the BBFC to make cuts due to scenes they found sexist or sadistic. Famed director Steven Speilberg's remake of " West Side Story " was denied age-rating classifications and banned in Saudi Arabia, the United Arab Emirates, Qatar, Bahrain, Oman, and Kuwait for failing to comply with those country's "cultural views" regarding profanity, sexuality or inclusion of LGBTQ+ characters or actors.

The South Korean Netflix hit "Squid Game" created much discussion because critics believed the series subtitles misrepresented South Korean culture. Others claimed inaccurate script translation and closed captions resulted in viewers watching a different series than the director intended.

These and other examples should remove all doubt that regardless of the story, government regulators are paying attention to cultural aspects of titles before release. The loss of markets or higher-than-expected age ratings will lower box office revenues or viewership hours. Especially when there is every indication that the amount of scrutiny content may encounter is expected to increase in the coming years.

2. Competition is global and increasingly fierce

Here's the competitive landscape. In 2021, the top M&E companies spent $250B on original film and TV production and licensing. For that $250B, IMDb Pro reports 44,028 films and 13,610 TV programs were at some stage of production (e.g., not released) through the end of the year. Recent data from Ampere Analysis indicates over 43,100 films, TV episodes, and series titles are available to subscribers across 11 US streaming platforms. Worldwide that figure exceeds 300,000 titles. That's a great deal of money, a lot of content, competition for consumers' attention, and many titles that aren't getting distributed.

The M&E industry has never invested more money in content acquisition. Given the amount of content that's available, why buy more? How will people find what to watch?

There are many reasons for this, e.g., content is king, and all the good titles have been taken, among others. We want to highlight market research that shows original content attracts subscribers faster and keeps them longer than old TV content. Not unlike the Disney+ series "Mandalorian" or Netflix's "Squid Game," a good series will find a loyal audience who return to it time and again. There's also the fact that those series are less likely to travel. Netflix series will always stay on Netflix. Same for Disney, Amazon, or AppleTV+ titles. That long-term loyalty is what the platforms are hoping to buy with these content investments.

The result is a highly competitive content land-grab to attract new subscribers, increase viewership hours, and reduce churn. With such substantial investments on the line, producers must figure out how to reach as broad an audience as possible across as many markets as possible, as quickly as possible. This is not an easy task, and given the amount of content in the pipeline, the effort and time required to prepare content for release will not get any easier or faster anytime soon. It's not just the quantity of titles entering the market slowing things down; the demand to localize them for international markets is a factor and the time required.

3. Artificial intelligence (AI) and machine learning (ML) begin to add value

In 2021, AI/ML took significant steps towards improving content development and post-production workflows. On the production side, tools came to market that assists content creators with script analysis to determine a film's possible critical and financial success, pre-production talent, distribution and release analytics , and recommending the right talent to maximize revenue for a particular script. On the post-production side, AI/ML can create visual effects to imperceptibly lip-sync facial movement with foreign-language dialogue and predict trailer effectiveness in finding an audience. Spherex greenlight™ is part of this AI/ML solutions class. It is used to identify cultural and contextual cues that impact age ratings before localization, thus saving production time, reducing localization cost, and eliminating regulatory risk for any internationally-released title.

Understandably, not every company can afford to be an "early adopter." But the need to succeed in today's highly competitive marketplace will push many studios and companies to try these tools and see if they add value to their content production workflows. Effective and successful utilization of these tools will only encourage their further development and improvement, which is the only way they get built. The Rogers Adoption Curve suggests that, like other companies that have adopted new technologies early, they will reap the benefit of getting their content to global markets faster, more cost-effectively, generating higher box-office revenues, and doing so with lower regulatory risk.

These aren't the only trends that will impact M&E in 2022, but we believe each will begin to influence decisions about content production, distribution, marketing, and bottom lines. In a market with thousands of titles being released to theatrical, streaming, and linear platforms each year, it's essential to see where and how you can gain market share and advantage. The best way to win in this new, more extensive marketplace is to be more innovative and agile than your competitor.

We're looking forward to 2022, and we hope you are, too—best wishes to you, your families, and your business in the coming year.

It's going to be exciting.

Related Insights

YouTube Thumbnails Can Get You in Trouble

Here’s Why Creators Should Pay Attention

When we talk about content compliance on YouTube, most people think of the video content itself — what’s said, what’s shown, and how it’s edited. But there’s another part of the video that carries serious consequences if it violates YouTube policy: the thumbnail.

Thumbnails aren’t just visual hooks — they’re promos and they’re subject to the same content policies as videos. According to YouTube’s official guidelines, thumbnails that contain nudity, sexual content, violent imagery, misleading visuals, or vulgar language can be removed, age-restricted, or lead to a strike on your channel. Repeat offenses can even result in demonetization or channel termination. That’s a steep price to pay for what some may think of as a simple promotional image.

The Hidden Risk in a Single Frame

The challenge? The thumbnail is often selected from the video itself — either manually or auto-generated from a frame. Creators under tight deadlines or managing high-volume channels may not take the time to double-check every frame. They may let the platform choose it automatically. This is where things get risky.

A few seconds of unblurred nudity, a fleeting violent scene, or a misleading expression of shock might seem harmless in motion. But when captured as a still image, those same moments can trigger YouTube’s moderation systems — or worse, violate the platform’s Community Guidelines.

Let’s say your video includes a horror scene with simulated gore. It might pass YouTube’s rules with an age restriction. But if the thumbnail zooms in on a blood-splattered face, that thumbnail could be removed, and your channel could be penalized. Even thumbnails that are simply “too suggestive” or “misleading” can get flagged.

Misleading Thumbnails: Not Just Clickbait — a Violation

Another common mistake is using a thumbnail that implies something the video doesn’t deliver — for example, suggesting nudity, shocking violence, or sexually explicit content that never appears in the video. These aren’t just bad for audience trust; they’re a clear violation of YouTube’s thumbnail policy.

Even if your content is compliant, the wrong thumbnail can cause very real problems.

The Reality for Content Creators

It’s essential to recognize that YouTube’s thumbnail policy doesn’t exist in isolation. It intersects with other rules around child safety, nudity, vulgar language, violence, and more. A thumbnail with vulgar text, even if the video is educational or satirical, may still result in age restrictions or removal. A still frame with a suggestive pose, even if brief and unintended in the video itself, can be enough to get flagged.

And for creators monetizing their work, especially across multiple markets, the risk goes beyond visibility. A flagged thumbnail can reduce ad eligibility, limit reach, or cut off monetization entirely. Worse, a pattern of violations can threaten a channel’s long-term viability.

What’s a Creator to Do?

First, you need to know how to spot the problem and then know what to do about it. Second, you need to know if the changes you make might affect its acceptance in other markets or countries. Only then can you manually scrub through your video looking for risky frames. You can review policies and try to stay up to date on the nuances of what YouTube considers “gratifying” versus “educational” or “documentary.” But doing this at scale — especially for a growing content library — is overwhelming.  

That’s where a tool like SpherexAI can help.

A Smarter Way to Stay Compliant

SpherexAI uses frame-level and scene-level analysis to flag potential compliance issues — not just in your video, but in any frame that could be selected as a thumbnail. Using its patented knowledge graph, which includes every published regulatory and platform rule, it will prepare detailed and accurate edit decision lists that tell you not only what the problem is, but also for each of your target audiences. Whether you're publishing to a single audience or distributing globally, SpherexAI checks your content against YouTube’s policies and localized cultural standards.

For creators trying to grow their brand, monetize their work, and stay in good standing with platforms, that kind of precision can mean the difference between success and a takedown notice.

Want to know if your content is at risk? Learn how SpherexAI can help you protect your channel and optimize every frame — including the thumbnail. Contact us to learn more.

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Automating Peace of Mind: Navigating YouTube's Global Guidelines with SpherexAI

For media companies distributing content across YouTube, compliance is no longer just a legal requirement—it’s a prerequisite for discoverability, monetization, and channel survival. YouTube enforces strict policies governing child safety, vulgarity, graphic content, and cultural sensitivity. For content owners, ensuring compliance across multiple categories and geographies is a complex and labor-intensive process. To address this issue, SpherexAI provides a scalable solution tailored for any content creator or owner.

YouTube’s Expanding Compliance Landscape

YouTube’s Community Guidelines cover a wide array of regulated categories. Content can be removed or age-restricted—and creators may face penalties—if videos violate policies on:

  • Nudity and sexual content: Content that includes sexually gratifying imagery or non-consensual sexualization is prohibited.
  • Violence and graphic imagery: Footage showing serious injury, bodily fluids, or torture intended to shock viewers can be flagged or removed.
  • Child safety: Content that exploits minors, includes inappropriate family content, or features children in dangerous stunts is not allowed.
  • Illegal or regulated goods: YouTube restricts promotion of firearms, narcotics, and gambling services, among others.

Managing compliance with each of these categories—especially when content is global and multilingual—is a logistical challenge for distributors.

Enter SpherexAI: Precision Compliance Automation at Scale

SpherexAI applies multimodal AI to analyze video content across dialogue, visuals, audio, and metadata. It detects compliance issues not only by scanning for policy violations but also by identifying subtle cultural or regional sensitivities that could result in content removal or limited distribution.

For example, the platform flags:

  • Dialogue with excessive profanity or sexual references, aligned with YouTube’s vulgar language policy.
  • Visuals showing partial nudity, firearm use, or dangerous stunts, which may trigger strikes or age restrictions.
  • Culturally sensitive depictions—such as religious imagery or portrayals of death—that may violate local norms and platform rules.

SpherexAI outputs include timestamped alerts and severity levels, allowing content owners to make targeted edits rather than performing full manual reviews.

Equal Rules for All Creators

Whether you’re a major studio releasing film clips or a digital-first creator uploading your first series, YouTube holds all content publishers to the same standards. Community Guidelines are enforced platform-wide, regardless of a channel’s size, history, or market familiarity.

This presents a significant challenge for new entrants. Many first-time creators or distributors may be unaware that a thumbnail featuring misleading imagery, a prank involving minors, or a scene with unedited drug references can lead to demonetization or a channel strike. But YouTube’s enforcement is uniform: content that violates policy is subject to the same sanctions across the board.

SpherexAI helps level the playing field by equipping every content team—regardless of experience—with access to the same tools used by top studios. Its patented knowledge graph, built on over a decade of regulatory insight and expert human annotation, powers its AI models with unmatched precision. The result: faster reviews, greater accuracy, and fewer costly mistakes.

Cross-Platform, Region-Aware, and Regulation-Ready

Unlike tools focused on metadata or age ratings alone, SpherexAI delivers:

  • Granular analysis: Scene-by-scene breakdowns for violence, vulgarity, sexual content, and self-harm risks.
  • Cultural intelligence: Predictive models assess content suitability across 240+ territories using Spherex’s proprietary “cultural distance” framework.
  • Workflow integration: The platform’s API allows integration into existing supply chains and CMS platforms for automated review at scale.

Reducing Risk, Unlocking Revenue

YouTube’s monetization eligibility hinges on content safety. Channels can be demonetized or de-prioritized in search and recommendation if flagged for repeated violations. Well-known creators Logan Paul, ScreenCulture, and LH Studios have all been sanctioned for violations. By proactively identifying and resolving compliance issues before publishing, SpherexAI empowers content owners to:

  • Avoid strikes or takedowns
  • Retain monetization rights
  • Accelerate time-to-market
  • Protect brand reputation

Conclusion

YouTube is a dynamic platform for global content distribution that requires rigorous adherence to evolving content standards. For studios, broadcasters, and new creators alike, SpherexAI offers an AI-powered safety net automating policy compliance while preserving creative integrity. When SpherexAI is integrated into your production workflow, you can publish confidently at scale, with full compliance, and with no brand risk.

Ready to streamline compliance and expand your YouTube strategy globally?

Book a demo or visit spherex.com to learn how SpherexAI can support your team.

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Spherex CEO Teresa Phillips Talks Practical AI for Global Content Localization at EnTech Fest

At this year’s DEG EnTech Fest, Spherex CEO and Co-Founder Teresa Phillips joined a panel to explore one of the most practical and impactful uses of AI in entertainment today: localization.

During the session titled “Practical AI For Speed and Savings in Localization,” Phillips shared how Spherex is leveraging AI to deliver “deep video understanding” that accelerates compliance and rating decisions in over 200 markets. As she explained, understanding the context—cultural, visual, and narrative—is crucial in determining whether a piece of content is suitable for audiences worldwide.

“AI can now detect not just what happens in a scene, but how it might be interpreted in different cultural and regulatory environments,” said Phillips. For example, in Scandinavian countries, if a trusted figure, such as a clergy member, commits an unethical act onscreen, it can dramatically impact a film’s age rating. SpherexAI is trained to identify these nuanced moments, flagging them for human review when needed.

Phillips also highlighted the role of AI in augmenting human decision-making, noting that “AI agents can be trained to ask humans the right questions—like whether the drinking in a scene is casual or excessive—ensuring more consistent, scalable evaluations.”

The conversation also acknowledged the broader industry shift that AI is bringing to localization workflows—from quality control (QC) to artwork generation, compliance, and project management. With automation poised to displace some entry-level roles, Phillips raised a key question for the future: “If junior roles are the first to be automated, how do we bring new talent into the industry? We have a responsibility in our organizations to create opportunities for the next generation.”

Joining Phillips on the panel were Silviu Epure (Blu Digital Group), Chris Carey (Iyuno), Kelly Summers (The Sherlock Company), and Duncan Wain (Zoo Digital), offering a 360° view on how AI is transforming the way stories cross borders.

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