Amidst the rapid technological advancements in Kenya's digital media landscape, the introduction of Artificial Intelligence (AI) has been both a catalyst for innovation and a disruptive force challenging the status quo of content creation. A significant concern arises from AI's capacity to destabilise the balance between human ingenuity and the relentless tide of mechanisation, with critical issues surrounding creative originality, workforce displacement, and intellectual property rights at the forefront of industry transformation. The crux of the problem lies in reconciling the rapid integration of AI technologies with the need to preserve the quintessential elements of human creativity that underpin the industry's success. This study critically examine d the impact of AI tools, namely Google Analytics, Adobe Sensei, and Hootsuite Insights, on the performance metrics of the Kenyan digital media industry which is realised by Cotent reach, User engagement, Conversion rate and Market growth. The objectives set forth in this research we re threefold: to evaluate the role of Google Analytics in enhancing user engagement and content strategy; to gauge the effectiveness of Adobe Sensei in streamlining the content creation process; and to understand the contribution of Hootsuite Insights to developing informed social media strategies for digital media firms. Employing a desktop research design, this study collate d and synthesize d secondary data to present an extensive analysis unbound by the constraints of primary data collection. The findings indicate d that AI tools are dual-edged, offering considerable benefits in content production efficiency and audience analytics, while simultaneously posing challenges to the preservation of creative authenticity and job security within the industry. In conclusion, AI tools exert a profound influence on the performance of Kenya's digital media industry, necessitating a strategic and measured approach to integration. The study advocates for enhanced AI literacy, the establishment of ethical standards for AI usage, and a revision of business models to leverage the strengths of AI effectively. Recommendations extend to various stakeholders, urging a balanced adoption of AI that fosters industry growth and maintains the integrity of human-led creativity, thereby steering the digital media sector towards a future that aligns with sustainable technological and cultural advancement. Keywords: Artificial Intelligence, Media Industry, Impact, Ethical Practices CITATION: Okeyo, M. M.,& Mutua, J. (2024). Artificial intelligence and performance of the digital media industry. The Strategic Journal of Business & Change Management, 11 (2), 444 – 453. http://dx.doi.org/10.61426/sjbcm.v11i2.2909
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