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Essential AI In Digital Media Innovation: 4 Ways to Unlock the Next Wave of Video

Written by Stacy Peled January 28, 2025

Over the past decade, I’ve had a front-row seat to one of the most rapid evolutions in the digital media landscape. Working in video technology for nearly 10 years—with 15 years of experience in digital advertising and ad tech—I’ve seen firsthand how innovations reshape our strategies and redefine what’s possible. But now, more than ever, I believe we’re on the cusp of the convergence of video and AI, leading to the next big transformation: AI in digital media innovation.

In a world where video content accounts for 65% of all online traffic, AI-powered video technology has emerged as the most powerful tool to help us better understand, organize, engage with, and monetize this tidal wave of content. Whether it’s personalized recommendations, contextual targeting, or dynamic video editing, AI in video advertising is becoming indispensable in how we engage with video in the digital age. 

Trends Leading the Demand for AI in Digital Media Innovation

The evolution of digital media and consumer content consumption is always changing, but there are 2 overarching trends shaping the need and desire for AI implementations. 

Short-Form Video Domination: The surge in short-form focused platforms like TikTok, with 30.8M daily active iOS users, has redefined how brands connect with audiences. Implementing an AI-powered monetization strategy allows seamless product placements and clickable links within this dynamic format.

Programmatic Video Advertising: Programmatic ads have an estimated global market size of 678.37 billion, and are still growing. Continuing to innovate programmatic video advertising with AI to optimize real-time bidding and ensure ads are delivered to the most relevant audience, maximizing impact and efficiency.

Let’s dig deeper into what’s driving this transformation and where the biggest opportunities lie for publishers, advertisers, content creators, and consumers alike.

1. AI-powered Personalization is the New Standard

Consumers today expect hyper-relevant content tailored to their tastes and preferences. AI enables brands and publishers to move beyond broad demographic targeting and dive deep into individual behaviors, interests, and viewing habits.

  • The Impact:  Increased engagement, longer watch times, and ultimately, better monetization opportunities.
  • Examples: Companies like Netflix and YouTube have led the way, but the real opportunity lies in democratizing this technology for publishers of all sizes.
  • At AnyClip: We’re leveraging AI-powered video technology to create smarter video recommendations, personalized viewing experiences, and enhanced contextual ad placements. By automating video metadata generation and enabling real-time video categorization, we help our partners deliver the right content to the right audience at exactly the right time.

2. The Evolution of Contextual Targeting

With the imminent death of third-party cookies, contextual targeting is making a major comeback. But today, it’s far more advanced than simply matching keywords or broad categories. AI in video advertising is driving a new level of contextual understanding, offering smarter ad placements that fit seamlessly into the content experience.

  • The Impact: AI advancements are empowering publishers and advertisers to analyze the full context of a video—understanding not just what’s being said, but also the tone, setting, and visual cues within the content.
  • For advertisers: This opens up new opportunities to place messages in a more meaningful and relevant environment, improving ad performance.
  • At AnyClip: Our contextual targeting uses advanced AI technology to analyze content 20X faster than real-time. The frame-by-frame analysis produces a robust set of metadata including actions, brands, objects, content categories, people, sentiment, brand safety flags, and IAB categories, allowing advertisers to target to the millisecond.
AI in Digital Media Innovation_AI generated metadata

3. Automated Video Editing and Content Creation

The future of video production is as much about automation as it is about creativity. AI is now helping creators speed up the process by automating repetitive tasks like editing, captioning, and tagging.

  • The Impact: Content producers can now focus on storytelling, while AI handles time-consuming post-production tasks. With the rise of short-form content across TikTok and Instagram, scaling content has never been more important, solidifying the need for AI support. 
  • Opportunities for brands: Automated solutions like highlight clipping, identifying key moments, and suggesting creative edits maximize viewer retention—all without increasing production costs.
  • At AnyClip: AI Workbench streamlines workflows and boosts collaboration. Automatically generating time-consuming tasks like translations, content metadata, highlight videos, and more – this is tailor-made for busy editors and post-production teams. Built-in collaboration features, allow teams to share clips, leave time-stamped comments, and give feedback—all within a centralized workspace
AI Workbench Features

4. Monetization 2.0: Beyond the Pre-Roll

The video monetization landscape has seen significant shifts. Traditional pre-roll ads are becoming less effective as viewers demand more relevant and less disruptive experiences. AI is at the heart of Monetization 2.0, where the focus is on integrated, seamless forms of advertising.

  • The Impact: Hyper-relevant ad experiences for consumers lead to higher engagement and purchasing. 
  • For advertisers and publishers: Gone are the days of one-size-fits-all advertising. With ad blockers and ad fatigue, leveraging AI-powered video monetization ensures relevancy with the right audience, optimized content recommendation, and in-the-moment pricing strategies to boost retention.
  • At AnyClip: We are weaving AI into every part of the advertiser ecosystem. 

Shoppable Video & Interactive Ads: AI allows brands to embed shopping experiences directly into videos. Imagine watching a tutorial and purchasing featured products without leaving the video.

Native and In-Content Placements: With AI’s ability to analyze content context, ads can be placed within the video itself, enhancing relevance and reducing disruption.

Dynamic Ad Insertion: AI ensures ads are personalized based on viewer behavior and preferences, improving both engagement and ad performance.


Conclusion

We’re at a pivotal moment in the digital video space, and those who embrace AI-driven innovation will be the ones to lead the charge. For publishers, advertisers, and content creators, the future of video is smarter, faster, and more personalized than ever. But beyond the technological advancements, it’s about creating meaningful, memorable experiences for audiences and building lasting connections between brands and consumers.

The future of video is here, and I’m excited to continue shaping it.

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