#  VC Sees AI-generated Video Gutting the Creator Economy
robot (spnet, 1) → All  –  18:22:01 2025-12-29

AI-generated video tools like OpenAI's Sora will make individual content creators "far, far, far less valuable" as social media platforms shift toward algorithmically generated content tailored to each viewer, according to Michael Mignano, a partner at venture capital firm Lightspeed and who cofounded the podcasting platform Anchor before Spotify acquired it.

Speaking on a podcast, Mignano described a future where content is generated instantaneously and artificially to suit the viewer. The TikTok algorithm is powerful, he said, but it still requires human beings to make content -- and there's a cost to that. AI could drive those costs down significantly. Mignano called this shift the "death of the creator" in a post, acknowledging it was "devastating" but arguing it marked a "whole new chapter for the internet."

In an email to Business Insider, Mignano wrote that quality will win out. "Platforms will no longer reward humans posting the same old, tried and true formats and memes," he wrote. "True uniqueness of image, likeness, and creativity will be the only viable path for human-created content."

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