Conversation with Filmmaker Jonathan M. Smith on the Evolving Tools and Trends That are Changing How Films are Made and Distributed
by Carole Dean
With over 15 years of experience in the film industry, Jonathan Smith is a well-respected figure among independent filmmakers, notably through his latest projects, Broken City and the vertical series Collapse of America. As an instructor in our class Learn Producing: The Ultimate Guide to Indie Film Production, Jonathan is highly regarded for his innovative approach and industry insights.
During a recent interview on my The Art of Film Funding Podcast, he delved into the current state of Hollywood. He discussed the future of streaming, and the emerging role of AI in filmmaking, while also providing valuable advice on preparing for the shifting landscape of the industry.
The Decline of Hollywood Productions: The Tax Incentive Exodus
The conversation kicked off with a discussion of a significant topic in the film world—Hollywood’s 40% drop in production output. Jonathan outlined several reasons for this decline, highlighting tax incentives as a major factor. California, once the undisputed hub of the film industry, has lost ground to states like Georgia, New Mexico, and international locations such as the UK. These regions offer far more competitive tax incentives, drawing filmmakers away from California’s traditionally higher production costs.
Countries like the UK not only provide financial incentives but also offer diverse landscapes, skilled crews, and state-of-the-art studio facilities. He emphasized that the global nature of the film industry today means that content can be created and distributed from virtually anywhere, making California less of a central player than it once was.
“Streaming and content are a worldwide market now,” Jonathan remarked, noting that productions have even moved to Mexico due to its lower costs. As the film industry continues to evolve, California will need to reconsider its approach to taxes and incentives to remain competitive.
The Post-Streaming Wars Era: Cost-Cutting and Viewer Trends
Shifting the focus to the state of the streaming industry, he noted that we are currently in a “post-streaming war” era. Platforms like Netflix and HBO, having aggressively grown their user bases in the 2010s, are now entering a phase of cost-cutting and stabilization. This marks a shift from the era of high spending on original content to a more conservative approach, focusing on tentpole releases such as Game of Thrones rather than smaller, riskier projects like Mozart in the Jungle.
One of the most interesting points he made was the impact of password-sharing crackdowns, which companies like Netflix are already implementing. This move aims to curb revenue losses and encourage new subscribers.
He also mentioned a growing trend of audience segmentation by age. Younger viewers, especially those aged 2 to 17, account for 30% of YouTube’s viewing metrics but only 13% of traditional TV metrics, signaling a shift in viewing habits that will drastically impact the industry in the coming decade.
“Kids today are growing up with free, ad-based platforms like YouTube. The question is, why would they pay for streaming services when they have all this content at their fingertips?” Jonathan said. He suggested that this generational shift could result in significant changes to how films are distributed and monetized in the future.
The Role of AI in Filmmaking: From Sound Design to Screenwriting
Jonathon predicted that AI will soon dominate various creative fields, particularly in smaller, independent projects. Graphic design, sound engineering, and even writing are areas where AI is already making significant strides. He shared his personal experience using AI to clean up sound on a recent project, which eliminated the need for a sound engineer.
“AI was able to clean the audio up, remove background noise, and leave me with professional-quality sound. It’s amazing what can be done now, and this is just the beginning.”
While acknowledging the benefits AI brings to low-budget productions, Jonathon was cautious about its potential to replace human jobs, particularly in the independent filmmaking sector. However, certain roles, such as acting and directing, are likely to remain safe for now due to the human element required to avoid the so-called “uncanny valley” effect in AI-generated characters.
Still, Jonathan encouraged filmmakers to expand their skill sets and embrace AI technology.
“Think of yourself as a conductor, not just an instrument,” he advised, urging filmmakers to master multiple disciplines. He believes that in the near future, filmmakers will have the tools to handle several production roles themselves. This will reduce the need for large crews and streamlining the filmmaking process.
The Future of Filmmaking: Vertical Content and Audience Engagement
Jonathan’s current project, Collapse of America, exemplifies the kind of forward-thinking approach he champions. The series is designed as vertical content, optimized for platforms like TikTok and Instagram. This allows viewers to consume it in bite-sized pieces or as a full-length documentary. This format reflects his belief that filmmakers must adapt to the viewing habits of modern audiences, particularly younger generations who prefer shorter, mobile-friendly content.
By incorporating AI tools and leveraging social media platforms, Jonathan is exploring new ways to reach and engage viewers. He sees platforms like YouTube as crucial to the future of independent filmmaking. It’s where creators can build audiences and gain industry recognition without needing traditional distribution channels.
How to Become Renaissance Filmmaker
Throughout the interview, Jonathan’s insights highlighted the importance of adaptability and innovation in today’s rapidly evolving film industry. Whether it’s navigating tax incentives, understanding the post-streaming wars landscape, or embracing AI technology, filmmakers must be prepared to wear many hats and think outside the box.
Jonathan’s approach—combining creativity, technology, and a deep understanding of industry trends—positions him as a true Renaissance filmmaker.
As Carole Dean aptly put it, Jonathan is “taking us into a new direction.” As filmmakers face the challenges of a changing industry, his example serves as an inspiring blueprint for success.
Carole Dean is president and founder of From the Heart Productions; a 501(c)3 non-profit that offers the Roy W. Dean Film Grants and fiscal sponsorship for independent filmmakers.
She is creator and instructor of Learn Producing: The Ultimate Course for Indie Film Production. Essential classes for indie filmmakers on how to produce their films.
She hosts the weekly podcast, The Art of Film Funding, interviewing those involved in all aspects of indie film production. She is also the author of The Art of Film Funding, 2nd Edition: Alternative Financing Concepts. See IMDB for producing credits