Interactive system and method for video compositing

An interactive video compositing device includes a chroma-key mixer, video switcher and control circuitry. The chroma-key mixer generates a composite image by combining a real-time image, such as one captured by a video recorder, with a prerecorded video image, such as a movie. The composite image includes the modified real-time image superimposed, or overlaid, onto the prerecorded image. The video switcher automatically selects either the composite image or the prerecorded image to be output to a display. The control circuitry controls the video switcher and other outputted signals based on data file information that corresponds to content of the prerecorded image or media. For example, the data files may contain information relating to the presence (or absence) of a particular character in a movie scene, thus allowing for the output and display, at appropriate times, of the real-time composite image instead of the prerecorded image.