Saregama taps AI to revive classics with modern music videos

Saregama, one of India’s oldest music labels, is set to enter the AI-generated content space, aiming to transform its vast music library into a new revenue stream, RPSG Group chairperson Sanjiv Goenka said.

Speaking to CNBC-TV18's Shereen Bhan, Goenka said, "Most of our catalogue, we are using AI to do fresh videos. All the classics… You will now have AI-generated videos which are completely modern." He added that the entire initiative can be executed at a fraction of traditional production costs, with a potential total investment of around ₹200 crore to convert the company’s 20,000 top songs into AI-generated videos.

The opportunity is significant. With over 87,000 songs in its library, Saregama could potentially monetise a large portion of its catalogue on digital platforms like YouTube. "It could be a huge revenue generator," Goenka noted.

The company is also exploring AI-generated films. "The whole production and the whole casting is AI… you produce the entire film at a cost of less than ₹5 crore. If you can get ₹10 crore revenue out of it, it’s 100% return on investment," he said. The first AI film is expected to roll out within the next 12 months, with plans for both theatrical and OTT releases under consideration.

Goenka also pointed out that Saregama has been a consistent profit driver for the RPSG Group. "This business has given us about 23% annual CAGR in terms of profits over the last five years," he said.

Saregama reported record revenue of ₹1,171.3 crore in FY25, up 46% year-on-year, with EBITDA at around ₹356.6 crore. Music remained the largest revenue contributor. The company has guided for continued high content investments, with about ₹1,000 crore earmarked for FY25–27.

Saregama’s move comes as global entertainment companies increasingly experiment with AI to cut costs and streamline production. International players like Warner Music, Universal Music Group, and Sony Music have already begun exploring AI for music and video production. In India, Saregama appears among the first to integrate AI at scale for both music and film content.

At the same time, India’s music scene is already witnessing early experiments with AI. In July this year, filmmaker Ken Ghosh unveiled Palkein Bheeg Jayein, billed as India’s first fully AI-generated music video. The melancholic acoustic ballad featured "Aila," an entirely AI-created artist with a voice and persona engineered through generative technology. Kolkata-based indie singer Siddhant Goenka has infused AI into four of his six pop-rock videos, blending human artistry with machine creativity. His work has left audiences "in disbelief," as he puts it.

Goenka highlighted that the AI initiative is being spearheaded by the next generation of leadership: "This is headed by my daughter… as much as renewables is by Shashwat. So I only come here to make projections, the projections, but they’re doing the work."

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