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By Oritro Karim | 25.Feb.26 | Twitter
Generative AI Could Deepen Inequality, Revenue Losses in Creative Industries
Generative AI Could Deepen Inequality, Revenue Losses in Creative Industries
Cover photo of the new UNESCO report, Re|Shaping Policies for Creativity. Credit: Diana Ejaita/UNESCO

UNITED NATIONS, Feb 25 2026 (IPS) - As generative artificial intelligence (AI) rapidly expands across nearly every sector of society, those that work in cultural and creative industries are expected to bear some of the greatest losses. With AI-generated content projected to dominate global markets in the coming years, combined with a lack of strong regulatory frameworks to protect intellectual property and AI’s ability to produce content quickly at a low cost, the United Nations Educational, Scientific, and Cultural Organization (UNESCO) warns that generative AI may become a major driver of inequality, threatening the livelihoods of millions of cultural workers around the world.

“It is no longer sufficient to simply celebrate the potential of digital tools,” said Lodovico Folin-Calabi, Director of the UNESCO Liaison Office in Brussels and UNESCO Representation to the European Union.“We must critically examine how these technologies are deployed, who is designing them, and whose voices are represented or excluded in their development.”

On February 18, UNESCO released the latest edition of its flagship report, Re|Shaping Policies for Creativity, examining how digital transformation and emerging technologies are reshaping the global cultural landscape. Drawing on data from more than 120 countries, the report highlights the growing impact of artificial intelligence, changing global trade dynamics, and increasing pressures on artistic freedom. UNESCO calls on governments, international institutions, and technology platforms to strengthen policy frameworks to prevent widening inequalities and protect the rights and livelihoods of creators, presenting a roadmap of more than 8,100 policy measures.

The report emphasizes that while emerging digital technologies offer new opportunities for innovation and provide artists with tools to expand their reach and streamline creative production, they have also deepened existing inequalities and made economic success increasingly uncertain. It projects that generative AI could lead to global revenue losses of up to 24 percent for music creators and 21 percent for audiovisual creators by 2028. These losses are compounded by artists’ growing reliance on digital income streams, which now account for nearly 35 percent of their earnings—marking a 17 percent increase from 2018.

As digital technologies become more integral to artists’ livelihoods, the rise of AI-generated content, increased risks of intellectual property infringement, and ongoing market volatility may make it even more difficult for cultural workers to remain sustainable. In recent years, streaming platforms and content curation systems have shifted to prioritize specific forms of content from popular creators, leaving smaller, lesser-known creators with far fewer opportunities for exposure or success.

“I think emerging artists struggle more than established artists with the rise of AI,” said Kiersten Beh, a traditional illustrator based in New Jersey. “Senior artists—especially freelance ones—already know how to promote themselves and get their work out there, and many of them have built strong relationships with clients over time. I fear that as an emerging artist, I don’t have these connections yet and instead find myself competing with AI directly.”

The report also underscores persistent gaps in how countries protect artists and their work. Only 61 percent of the countries surveyed were found to have adequate frameworks in place to safeguard artistic freedom and prevent intellectual property infringement from AI.

While approximately 85 percent of countries included cultural and creative sectors in their national development plans, just 56 percent outlined specific cultural objectives, highlighting a clear disconnect between broad commitments and concrete action. Furthermore, only 37 percent of the countries surveyed reported having measures to support cultural workers operating in environments entrenched in political instability, prolonged conflict, or displacement.

“We, international organizations, states, artists, and humanity in general, must stand together in ensuring that AI does not limit the rights of everyone who wants to be involved in artistic creativity,” said Alexandra Xanthaki, United Nations (UN) Special Rapporteur in the field of cultural rights. “This includes not only artists, but anyone who wants to take part in artistic life.”

These challenges are particularly pronounced in the Global South, where artists face heightened risks tied to technological barriers and widening digital divides. The report notes that essential digital skills are held by approximately 67 percent of people in developed countries, compared with just 28 percent in developing nations. Additionally, only 48 percent of surveyed countries have developed systems to track the consumption of digital cultural content.

Colombian independent expert Viviana Rangel emphasized these imbalances when speaking to UNESCO in October 2025. “Our region doesn’t produce this kind of technology–it consumes it. This places us in a more vulnerable position against the unintended effects of these technologies in the cultural field,” she said, adding that AI systems often sideline the perspectives and inputs of artists in the Global South.

Meanwhile, support for vulnerable artists remains significantly inconsistent and underfunded, leaving many exposed to emerging risks such as digital surveillance and algorithmic bias. Direct public funding for cultural sectors remains strikingly low – below 0.6 percent of the global GDP – and is projected to decline further in the coming years.

Additionally, progress toward ensuring universal support for cultural workers remains uneven, with a pronounced gender gap affecting female artists. Although the share of women leading cultural institutions worldwide has increased from 31 percent in 2017 to 46 percent in 2024, significant disparities persist: women hold 64 percent of leadership roles in developed countries, compared to just 30 percent in developing nations. Moreover, entrenched policy frameworks continue to position women primarily as cultural consumers rather than recognizing and supporting them as creators and leaders.

Achieving a sustainable future for artists and cultural workers in the age of AI will require more than technological adaptation–it demands equitable policy reform and coordinated global action. Through its latest report, UNESCO calls for renewed investment, a more balanced market, and stronger collaborative measures between governments, institutions, and industry leaders to safeguard artistic freedom and ensure that creative work remains a viable livelihood. The agency further stresses that creativity must continue to serve as a vital source of economic opportunity, cultural diversity, and social cohesion in a rapidly digitizing world.

IPS UN Bureau Report

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