This paper examines the multifaceted challenges facing the integration of Artificial Intelligence (AI) in Indian filmmaking, particularly during the pre-production and production phases. As AI continues to revolutionize global cinema through automation, data analytics, and generative technologies, the Indian film industry finds itself at a crossroads where tradition meets innovation. Drawing upon quantitative survey data from 120 film professionals and qualitative insights from 15 in-depth interviews conducted in Mumbai, Hyderabad, and Chennai, this study investigates ethical concerns, technical barriers, and cultural tensions in the adoption of AI tools. Case studies, including high-profile films such as "Robot 2.0" and emerging projects like "Project K," highlight the nascent but growing presence of AI in Bollywood and regional industries. The paper uses a mixed-methods approach, supported by tools like NVivo and SPSS, to interpret data and generate meaningful insights into resistance, readiness, and realistic applications of AI in Indian cinema. The findings emphasize the need for indigenous AI development, ethical frameworks, and industry-wide capacity building.