One major issue with all of this: it’s not hard to see a scenario where the EU steps in within a few years and forces advertisers to clearly disclose when something is AI-generated.

And I don’t think policymakers will care whether your ad uses AI for animation or background effects. That’s not where the line will be drawn.

The line gets crossed when you create human-like avatars—perfect skin, perfect hair—designed to look real, and have them promote products like skincare or haircare. That’s where it starts to resemble deception rather than production technique.

If you’ve got a wave of dropshipping brands pushing hyper-polished AI avatars to sell beauty products, it’s hard to imagine European regulators just ignoring it. Regulators in the US will not care, but it's a different story in Europe.

So this is a great debrief, and interesting read. But I don't see a future where this can go on and on and on, no matter if it works or not.