"Back in 2023 … it was difficult to get someone to run or to walk. Any type of realism was [limited to] very short clips, everything was very slow, bad textures, no skin textures, lacking detail. Now the script has flipped. Now I can do anything. It has been nothing short of exceptional, the technological advancements," Boman told CNBC in an interview.

Hugging Face's Yakefu, added that the Seedance 2.0 model has shown progress from previous generations in "controllability, speed and production efficiency."

"Seedance 2.0 is one of the most well-rounded video generation models I've tested so far. It genuinely surprised me by delivering satisfying results on the first try, even with a simple prompt. The visuals, music, and cinematography come together in a way that feels polished rather than experimental," Yakefu said.

However, while users have praised the technology, Seedance has run into trouble. Local Chinese media reported that Seedance has suspended a feature that allowed the AI to generate the voice of a person based on a picture they uploaded. It came after a blogger in China raised concerns about the voice generation taking place without consent.

ByteDance was not immediately available for comment when contacted by CNBC.