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Date:
January 7, 2022

Spherex M&E Predictions for 2022

Predicting the future is problematic. The process begins with the predictor's perspective on the past, includes their view of things as they are today, and ends with someone else going back to see how close they came 12 months later. The task is further complicated by the difference between what we thinkwill happen and what we wantto happen, both of which can have no relationship to what actuallyhappens. The challenge then, to paraphrase Peter Drucker, is not "predict the future, but to create it." Our predictions focus on technologies and changes we believe will contribute to a new future for the M&E industry in 2022.

One: the battle for audience share intensifies

No one is in the media or entertainment business just to tell stories. They want to make a profit as well. As such, streaming and linear platforms, advertisers, and content creators need viewer or subscriber figures, minutes watched, customer churn, and revenue as success metrics. When streaming content was first introduced in 2007, Netflix and Hulu were the only two players. Today, there are nearly 300 VOD and OTT platforms available to consumers across 200+ countries and territories. That number is expected to increase to 600 platforms and two billion subscribers by 2025.

Of course, having a platform means you must make content available that consumers will want to watch and subscribe to and for advertisers to support. Variety's "Dare to Stream" report says 35% of SVOD subscribers choose a platform because it "Has the shows I want" to watch. Companies with existing or expanding content catalogs have a competitive advantage because they don't have to buy or license content, but even those titles become stale over time. The result is the demand for new content will continue to increase as more consumers tire of existing catalogs, are unable to find something to watch, and reach the point of deciding which service is no longer worth the subscription price.

Two: original foreign-language content investment increases

The global popularity of foreign titles in 2021 like "Squid Game" and "The Silent Sea" demonstrate what 2019's Best Film Oscar winner for "Parasite," director Bong Joon-ho hoped for -- that moviegoers would overcome the one-inch subtitle barrier and find engaging stories worth watching. The result of this success has platforms searching for possible successors. CNBC reports that studios are interested in foreign titles because (a) the market for them, especially South Korean titles, is hot, (b) they cost less to produce than domestic titles by a factor of 5-10x, (c) it allows them to establish production and licensing relationships that can freeze out competitors who may be late to the game, and (d) opens new markets to their platforms for local and other international titles.

Netflix announced it would invest approximately $500 million in Korean content in 2022. This year, Disney plans to launch service in South Korea, Taiwan, and Hong Kong and buy 50 Asian originals by 2023. Peacock has partnered with Telemundo to develop 50 Spanish-language projects and create a new streaming channel. Amazon Prime Video announced it is expanding its content development in India , ordering shows in Hindi, Tamil, and Telugu languages. Many of these titles will find their way to the US and other international markets. Several will find the same level of success and audience acceptance as Squid Game, Parasite, and other foreign language titles.

Three: culturalization becomes an integral component of localization

We've written many times about content creators' challenges when preparing titles for international release. We highlighted the numerous films or TV shows that have run up against regulatory challenges , how less-than-optimal "subs and dubs" have resulted in the foreign audience watching a show that differs from the original , and how getting it wrong impacts revenue and audience acceptance.

The inevitability of regulatory and social media review and criticism means that changes in post-production workflows are necessary to ensure titles pass regulatory and linguistic muster before title submission and release. As the number of titles being released continues to increase globally, directors, producers, and studios need to find a competitive advantage that allows them to reach markets faster, at reduced cost and with no regulatory risk. Beginning in 2022, adding Artificial Intelligence (AI) and Machine-Learning (ML) tools, such as Spherexgreenlight™ to existing human processes can help content providers accomplish this important objective while reducing localization costs and improving the customer experience, and getting to revenue faster.

The underlying notion of all these predictions is speed to market. How do content creators, owners, and distributors get in front of audiences, even during a pandemic, more quickly, with less cost, and fewer regulatory headaches? We believe 2022 is the year they begin to reimagine their markets, where they go for content, and how they manage post-production and win in the marketplace.

It's going to be an exciting year. Check back next January and let's see how well we did!

Related Insights

The Global Rules of Content Are Changing

Across the past eight issues of Spherex’s weekly World M&E News newsletter, one theme has become undeniable: regulation, censorship, and compliance are rewriting the rules of global media. From AI policy to platform accountability, from creative freedom to cultural oversight, content creation is now inseparable from compliance.

1. Platforms Tighten Control Through Age and Safety Laws

U.S. states such as Wyoming and South Dakota have enacted age-verification laws that mirror strict internet safety rules already seen in the U.K., signaling a broader legislative trend toward restricting access to mature material.

At the same time, Saudi Arabia’s audiovisual regulator ordered Roblox to suspend chat functions and hire Arabic moderators to protect minors—an example of government-imposed moderation replacing voluntary compliance.

Elsewhere, Instagram’s PG-13 policy update illustrates how platforms are preemptively adapting before new government rules arrive.

2. Censorship Expands — Even as Its Methods Evolve

Censorship remains pervasive but increasingly localized. India’s Central Board of Film Certification demanded one minute, 55 seconds of cuts from They Call Him OG, removing what they considered violent imagery and nudity.

In China, the horror film Together was digitally altered so that a gay couple became straight using AI. Responding to Malaysia’s stricter limits on sexual or suggestive content, censors excised a “swimming pool” scene from Chainsaw Man – The Movie.

Israel’s culture minister threatened to pull funding from the Ophir national film awards after a Palestinian-themed film about a 12-year-old boy won best picture.

3. AI and Content Creation: Between Innovation and Oversight

AI remains both catalyst and controversy. Netflix announced new internal policies limiting how AI can be used in production to protect creative rights and data ownership.

OpenAI’s decision to allow adult content on ChatGPT under “freedom of expression” principles sparked industry debate about whether platforms or creators set the moral boundaries of AI. OpenAI’s CEO Sam Altman emphasized in a statement, the company is “not the moral police.”

Meanwhile, California passed the Digital Likeness Protection Act to combat unauthorized use of celebrity images in AI-generated ads.

4. Governments Target Global Platforms

The Indonesian government is advancing a sweeping plan to filter content on Netflix, YouTube, Disney+ Hotstar, and others using audience-specific content suitability metrics.

At the same time, the U.K. and EU are reexamining long-standing broadcast rules, with Sweden’s telecom authority proposing the deregulation of domestic broadcasting to encourage competition.

These diverging approaches—tightening in one market, loosening in another—underscore the growing fragmentation of global compliance standards.

5. Compliance as Competitive Advantage

The real shift is strategic: companies now see compliance as value creation, not red tape. As Spherex has argued in recent Substack articles, The Hidden Costs of Non-Compliance in Video Content Production and Why Content Differentiation Matters More Than Ever, studios and creators who anticipate regulatory complexity and make necessary edits on their terms while remaining true to their stories can reach more markets and larger audiences with fewer risks.

In other words, understanding compliance early has become the difference between limited release and global scale.

Conclusion

From new age-verification laws to AI disclosure acts and streaming filters, regulation now defines the boundaries of creativity. The next evolution of media will belong to those who can move fastest within those boundaries—leveraging compliance not as constraint but as clarity.

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Spherex Wins MarTech Breakthrough Award for Best AI-Powered Ad Targeting Solution

The annual MarTech Breakthrough Awards are conducted by MarTech Breakthrough, a leading market intelligence organization that recognizes the world’s most innovative marketing, sales, and advertising technology companies. 

This year’s program attracted over 4,000 nominations from across the globe, with winners representing the most innovative solutions in the industry. This year’s roster includes Adobe, HubSpot, Sprout Social, Cision, ZoomInfo, Optimizely, Sitecore, and other top technology leaders, alongside in-house martech innovations from companies such as Verizon and Capital One.

At the heart of this win is SpherexAI, our multimodal platform that powers contextual ad targeting at the scene level. By analyzing video content across visual, audio, dialogue, and emotional signals, SpherexAI enables advertisers to deliver messages at the most impactful moments. Combined with our Cultural Knowledge Graph, the platform ensures campaigns resonate authentically across more than 200 countries and territories while maintaining cultural sensitivity and brand safety.

“Spherex is leveraging its expertise in video compliance to help advertisers navigate the complexities of brand safety and monetization,” Teresa Phillips, CEO of Spherex, said in a statement. “SpherexAI is the only solution that blends scene-level intelligence with deep cultural and emotional insights, giving advertisers a powerful tool to ensure strategic ad placement and engagement.”

This recognition underscores Spherex’s commitment to building the next generation of AI solutions where cultural intelligence, relevance, and brand safety define success. The award also highlights the growing importance of cultural intelligence in global advertising. As audiences consume more content across borders and devices, brands need solutions that go beyond surface-level targeting to connect meaningfully with viewers. SpherexAI provides that bridge, empowering advertisers to scale campaigns that are not only effective but also contextually relevant and culturally respectful.

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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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