Korean AI Studio Warns of Cost Spike
Token fees for feature films could reach $3.66 million, potentially exceeding the costs of the 35mm era.
By Pedro Barnes ·
The shift to digital filmmaking eliminated the physical costs of film stock, but a new financial hurdle is emerging for producers. Artificial intelligence tools now generate charges based on compute units, creating a variable cost structure that traditional budgeting models do not account for.
Kim Kwang-jib, CEO of Studio Meta-K, addressed the Taiwan Creative Content Fest in Taipei on Sunday. He stated that generating a 100-minute feature with premium commercial tools costs over 500 million won, or roughly $366,000. Kim noted that these companies are currently losing money to market their platforms, but he warned that a tenfold price increase is possible. In that scenario, the token bill alone could rise to 5 billion won, or $3.66 million.
The financial pressure hits Asian productions hardest. Hollywood budgets of 200 billion won, or $146.6 million, can absorb these fees. However, typical Korean and Taiwanese features spend between 3 billion and 5 billion won, or $2.2 million to $3.66 million, on live action and visual effects. A tenfold jump in AI costs would force producers to question if the technology saves money at all.
Revision workflows determine the final expense. Kim explained that Studio Meta-K can process 10 simultaneous changes in a single render pass. If those same 10 changes arrive individually over 10 days, the studio must re-render and pay ten separate times. He argued that unless preproduction is rigid, AI spending could surpass the meticulous planning required during the 35mm era.
Lee Sang-wook, head of the AI Content Lab at MBC C&I, confirmed the volatility of the tools. His team spent 16 months making the 139-minute feature “Raphael.” Lee noted that new updates arrive weekly, and using technology from a year ago makes scenes look dated. A single shot on “Raphael” sometimes required 10 artists for a full day. The film opens in Korean cinemas on Nov. 25. It received backing from the Ministry of Culture, Sports and Tourism and the Korea Creative Content Agency.
Studio Meta-K is testing a reversed pipeline. The company builds the entire 100-minute film in AI during preproduction, then reshoots only weak segments in live action. Kim estimated that currently 50 minutes would need reshooting, but he expects that number to drop to zero. The company is also converting Im Kwon-taek’s 1993 film “Seopyeonje” into an animated feature for a release next summer.
The industry is split on open-source tools. Kim said his studio uses free models for simple shots and paid tools for complex ones. Lee said his lab avoids open-source due to training data transparency issues and the lack of EU AI Act compliance. Kim raised 10 billion won, or $7.3 million, in funding this month. He expects the company to file for an IPO next year.
Kim believes AI will reduce the need for large on-set crews. He predicted that roles like drone operators and set workers would decline. Lee compared the shift to the introduction of sound, which changed theater jobs. He said new roles will emerge, such as previsualization artists and continuity supervisors. He added that one Korean studio already employs more than 50 AI artists.
