Luma has opened an AI-powered production studio.

New company blends filmmakers and generative tools

Luma, the startup known for generative video tools, has spun up a production services arm called Innovative Dreams. The unit pairs Luma’s creative technology with seasoned filmmakers from director Jon Erwin’s team to support large-scale film and television projects.

Innovative Dreams will let creative teams work alongside what Luma calls Luma Agents — its suite of AI tools that handle text, image, video and audio tasks — to iterate on sets, props and lighting in real time. The company says that human footage can be combined with AI-generated elements during production, rather than waiting until post-production to stitch everything together.

Amit Jain, Luma founder and chief executive, has argued that soaring production costs in Hollywood have made it harder for filmmakers to take risks. Jain says generative AI can make the process faster and cheaper while maintaining high production values. That line of thinking underpins the new partnership with Wonder Project, a faith-focused streaming outfit run by director Jon Erwin and former Netflix executive Kelly Hoogstraten.

First project features Ben Kingsley

The tie-up’s debut production will be The Old Stories: Moses, a project that will star British actor Ben Kingsley and is scheduled to launch this spring on Prime Video.

The Old Stories: Moses marks a high-profile launch for Innovative Dreams and signals Luma’s intent to move beyond tooling and into finished-content production.

Jon Erwin, who helped found Wonder Project, brings a track record in faith-oriented films to the collaboration. Kelly Hoogstraten, who left Netflix to co-found Wonder Project in 2023, oversees the streaming service’s strategy aimed at a global audience interested in religious and values-led entertainment.

How Luma Agents are pitched to work

Luma describes Luma Agents as end-to-end creative assistants that can be used across media types. In practice, the technology is meant to let directors and production designers see changes to virtual sets, tweak lighting, swap props or add AI-generated elements while the crew are still on set.

That workflow contrasts with traditional virtual production, where many digital additions are finalised during post-production. Luma says its approach reduces delays and gives filmmakers more control during principal photography. The company frames the tech as improving creative collaboration rather than replacing human crews.

Mastheads

Industry watchers note the difference between tools and finished content. Several startups have started to close that gap by using their own technology to produce original shows or films. Luma joins a growing set of companies moving from developer tools into studio-level production, signalling a new phase for generative video firms.

Market backdrop and industry voices

The move comes amid broader debate about how AI will change filmmaking economics. Cristóbal Valenzuela, co-founder and co-chief executive of Runway, has argued that studios could redeploy budgets to produce many more films with AI rather than funding single, expensive productions. Valenzuela suggested a scenario in which the money spent on one big-budget picture could instead produce tens of smaller projects through AI-assisted workflows.

Right now, amit Jain has made a related point: high production costs constrain creative choices, and AI can be used to lower those barriers. He frames that potential as a way to let filmmakers attempt more ambitious ideas without the same level of financial risk. Luma’s new studio model aims to operationalise that argument by embedding AI into the production pipeline rather than offering it solely as a post-production tool.

Creative and ethical questions

Shifting parts of the production chain into AI raises practical and ethical questions. How will credits and compensation work when AI tools generate imagery or assist with scenes? Who owns generated content when human and machine contributions are mixed? Those are active discussions in the industry, touching on labour, intellectual property and creative control.

Luma’s public materials emphasise collaboration between human creatives and AI. The company pitches Innovative Dreams as a service for big studios and independent filmmakers who want to realise ambitious ideas but find current budgets and schedules limiting. Still, unions, guilds and rights holders are watching as studios experiment with new models.

Production speed and cost

The promise of faster iteration on set could change scheduling and budgeting. If directors can adjust lighting, swap backgrounds or trial effects during shooting, some post-production steps could shrink. That would shorten timelines and, potentially, lower overall costs.

But producing high-end imagery at scale remains challenging. AI can speed some tasks, yet large productions still need skilled crews, specialised equipment and logistical planning. Luma’s approach is to augment those teams, not replace them. By integrating Luma Agents into the workflow, Innovative Dreams aims to give filmmakers instant creative options while keeping human oversight central.

Business model and partnerships

Innovative Dreams is structured as a production services company rather than a streaming label. That means it will work with studios and filmmakers to deliver projects on commission. The partnership with Wonder Project gives the new company a visible launch customer and a content niche — faith and values-driven entertainment — that has a ready audience on major streaming platforms.

Wonder Project launched in 2023 with a mission to serve faith-minded viewers worldwide. Jon Erwin and Kelly Hoogstraten built the service to produce films and series that cater to that demographic. The collaboration with Luma suggests Wonder Project is open to using cutting-edge technology to fast-track production timelines and to experiment with different visual approaches.

Where this fits in the wider AI wave

Several creative studios and AI startups are already experimenting with original content. Some have produced shorts or pilot episodes that mix human performances with generative visuals. Luma’s move into services and finished content is part of a broader trend: technology vendors are trying to prove their tools by using them to make actual shows.

That can be persuasive for potential customers. Seeing a finished episode or feature made with the tools may be more convincing than demos or technical papers. For Luma, The Old Stories: Moses is both a creative product and a sales case for Innovative Dreams’ capabilities.

How audiences and industry buyers respond will shape whether other AI firms follow suit. If the model cuts costs while keeping quality high, more studios may try to weave AI agents into their workflows. If not, the technology could remain a niche add-on for specific effects and visual sequences.

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Ben Kingsley will star in The Old Stories: Moses, which is set to debut this spring on Prime Video.

This article was created with AI assistance.