Coca-Cola's latest holiday advertisement has sparked widespread criticism not just for its use of artificial intelligence, but for what it represents in the broader push of AI into everyday marketing. The commercial, a remake of the company's iconic 1995 'Holidays Are Coming' ad, features a Coca-Cola truck traversing a snowy landscape, awakening forest animals that follow it to a town square Christmas tree. Released in early November 2024, the ad has drawn backlash from viewers who decry its AI-generated elements as bland and unnatural, highlighting ongoing debates about technology's role in creative industries.
According to a detailed analysis published on CNET, the ad's AI components are particularly evident in the depiction of animals like pandas and polar bears, which exhibit a 'shiny, part plastic' quality. The piece, written by an AI reporter for the tech site, notes that the fur on these creatures lacks consistency, with details fading unevenly across their bodies. 'This panda bear is clearly not real footage, but it has that specific AI quality that's part shiny, part plastic,' the CNET article states, pointing out inconsistencies such as a mama polar bear's fur being 'shaggier on its cheek than on the top of its head.'
The company disclosed its use of AI right at the start of the video, labeling it with a note reading 'Created by Real Magic AI' in the bottom left corner. This transparency, while minimal, has been praised in some quarters as a step forward amid growing concerns over undisclosed AI content. The CNET reporter emphasized this point, saying, 'There is exactly one thing Coca-Cola got right, and that's the AI disclosure at the beginning of the video. It's one thing to use AI in your content creation; it's entirely another to lie about it.'
Coca-Cola's behind-the-scenes video reveals more about the production process, showing the use of tools like Google's Veo video generator and features resembling Photoshop's generative fill. The ad includes scenes where animals react with exaggerated expressions, such as mouths forming perfect circles in surprise, which the CNET analysis identifies as hallmarks of AI generation. The company claims to have gone 'pixel by pixel' in creating the animals, but the reporter expresses skepticism, stating, 'I'm not sure I believe the company went "pixel by pixel" to create its fuzzy friends.'
This isn't the first time Coca-Cola has ventured into AI for its holiday campaigns. Last year, in 2023, the company released a similar AI-infused ad that also faced criticism. According to CNET, Coca-Cola has been committed to AI since at least 2023, when it partnered with OpenAI. Its advertising agency, Publicis Group, secured the account by promoting an 'AI-first strategy,' as reported in industry announcements.
The backlash comes amid a surge in AI tools for marketers. A report from Canva's 2025 Marketing and AI study, cited in the CNET article, indicates that 94% of marketers have a dedicated AI budget, with three-quarters expecting that budget to increase. These tools promise to streamline content creation, automate workflows, and analyze data, but they have raised alarms about job displacement in creative fields.
Critics argue that the ad's AI elements could have been handled by human animators, potentially leading to lost opportunities for workers. The CNET piece draws parallels to recent layoffs at companies like Amazon, where AI efficiency is cited as a rationale for cutting jobs. 'Even so, it's more than likely real humans lost out on jobs in the creation of these AI ads,' the reporter writes. 'Coca-Cola's commercial could've been created, and probably improved, if it had used animators, designers and illustrators.'
Similar controversies have plagued other brands. In June 2024, Vogue magazine featured an advertisement from Guess using an AI-generated model, which incensed readers and prompted models to speak out about diminishing job opportunities. A month later, in July 2024, J.Crew was called out for employing 'AI photography' in its campaigns. Last year, Toys R Us made headlines with an ad featuring an AI-generated giraffe created using an early version of OpenAI's Sora tool. As the Toys R Us president reportedly said, 'We weren't going to hire a giraffe,' acknowledging the impracticality but also the transparency.
It's so easy to be clear, yet so many brands and creators don't disclose their AI use because they're afraid of getting hate for it. If you don't want to get hate for using AI, don't use it! But letting people sit and debate about whether you did or didn't is a waste of everyone's time.This quote from the CNET article underscores the call for better labeling practices, especially as AI content becomes harder to distinguish from reality. The reporter also calls out singer Mariah Carey for not disclosing potential AI use in her recent holiday ad with Sephora.
Despite the tame nature of Coca-Cola's ad—described as 'bland' and 'benign' compared to more controversial AI-generated content—the reaction has been strong because it encapsulates multiple AI debates. Issues like normalization of AI in media, potential job losses, and the need for transparency are all at play. The CNET analysis suggests that while the ad isn't overtly harmful, it signals corporations' relentless adoption of AI without fully considering consumer sentiment. 'Coca-Cola using AI in a commercial is yet another sign that companies are plowing ahead with AI without truly considering how we'll react,' the article states.
Public response on social media has amplified these concerns, with users sharing side-by-side comparisons of the 1995 original and the 2024 remake to highlight the AI's shortcomings. Some viewers have expressed a preference for traditional animation or live-action elements, arguing that AI detracts from the holiday magic. Others, however, appreciate the innovation, viewing it as a natural evolution in advertising.
In the broader context, AI's integration into advertising reflects a industry-wide trend. With tools like chatbots and generative software becoming ubiquitous, consumers are increasingly encountering AI in their daily feeds. The CNET reporter notes, 'AI content is becoming -- has already become -- normalized. We can't escape chatbots online and AI slop in our feeds.' This normalization raises questions about authenticity and the ethical use of technology in creative work.
Looking ahead, experts predict that AI disclosures will become standard, much like content warnings on social media. Platforms are already implementing flags for AI-generated material, though these systems remain imperfect. As the holiday season progresses, more brands may follow Coca-Cola's lead—or face similar scrutiny if they fail to disclose. The company's persistence with AI, despite past backlash, suggests it views the technology as essential to its marketing future.
The controversy also ties into larger societal worries about AI's impact on employment. Surveys show that job loss due to AI is a top concern for U.S. adults, particularly in creative sectors. While AI generators aren't yet capable of fully replacing human talent, their cost-effectiveness appeals to executives seeking efficiency. As one example, Amazon's recent layoffs of thousands of workers have been linked to AI-driven optimizations.
Ultimately, Coca-Cola's ad serves as a microcosm of the AI debate: a seemingly innocuous holiday spot that underscores deeper tensions. Whether this will prompt a shift in corporate strategies remains to be seen, but it has certainly fueled discussions about transparency and the human element in art. As the CNET reporter concludes with a personal touch, 'So this holiday season, I think I'll drink a Pepsi-owned Poppi cranberry fizz soda instead of a Coke Zero,' hinting at potential consumer boycotts that could influence future campaigns.