San Sebastian’s Zinemaldia Startup Challenge is becoming a small but telling window into where the audiovisual industry is spending its innovation money: artificial intelligence, virtual production and sustainability.
San Sebastian Startup Challenge Highlights AI Production Tools

That matters because film and TV production are no longer just creative businesses. They are increasingly software, data and infrastructure businesses, with margins and competitiveness shaped by tools that can cut labor, reduce costly location work, improve streaming reliability and track carbon output. The 10 finalists in this year’s challenge, drawn from Spain and across Europe, show how quickly those priorities are spreading across the sector.

The contest, launched in 2019, drew 68 submissions this year, its largest field yet, underscoring how much startup capital and technical talent is chasing the production pipeline. Finalists will pitch on Sept. 24 at Zinemaldia & Technology, with separate juries naming Spanish and European winners.
The lineup is broad, but the common thread is efficiency. Spain’s Dymensium is using 4D Gaussian Splatting to build digital doubles and immersive environments, while Volum is working on real-time volumetric capture and telepresence. HAMO Real-Time Animation System is aimed at interactive digital characters, and intoreality.tv combines conventional video with VR180 and VR360 feeds. Pixentinel uses AI to troubleshoot live-streaming failures, a reminder that even small technical glitches can be expensive when content is distributed at scale.
The European finalists point to the same commercial pressure. Germany’s Graphrs is building a production operating system for scheduling, staffing and equipment management. Britain’s SuperScout focuses on location management, while Finland’s THELMA targets unauthorized use of public figures’ image, voice and likeness — a rights issue that will only grow more important as AI tools make digital replication easier. Another Finnish entry, Virtual Location Scouting, lets crews assess sites remotely. Belgium’s TheGreenShot wraps it all in carbon measurement and environmental reporting, an area that has moved from public-relations talking point to procurement requirement for some productions.
For investors, the bigger story is not one prize or one festival, but the direction of travel. AI is moving deeper into the production stack, virtual production is making expensive shoots more flexible, and green reporting is becoming part of the cost structure. Those are the kinds of changes that can create durable software businesses if they solve real pain points and scale beyond one-off creative projects.
There is also a useful lesson in the festival’s past winners. Anthrotek, which won Best European Project in 2025, said the exposure helped it establish itself in cinema and finance specialist support for regulatory work. That backing later helped it pivot into artificial medical models, including synthetic bodies, organs and skin — exactly the sort of adjacent-market expansion that investors like to see from early-stage technology companies. Winning at San Sebastian, in other words, can be more than a trophy; it can be a launchpad.
For long-term investors, the challenge is to think about this ecosystem the way the industry increasingly does: as a stack of software, automation and data tools that will be embedded in production workflows over years, not weeks. Not every startup will matter, but the categories on display — AI oversight, immersive production, remote scouting, rights protection and emissions tracking — look like secular opportunities, not passing festival trends. Worth watching.
| Entity | Gains | Losses |
|---|---|---|
| Startup finalists | ▲Festival exposure, industry validation | ▼Smaller rivals, by comparison |
| Producers and studios | ▲Lower costs, better workflows | ▼Manual processes, inefficiency |
| AI and virtual production vendors | ▲New adoption opportunities | ▼Legacy tools and workflows |
| Broadcasters and streamers | ▲More reliable, scalable content | ▼Technical failures, higher production waste |




