How Netflix is Using GenAI in Its Shows and Films
As generative AI tools evolve, many streaming platforms are racing to integrate them into content production—and Netflix is leading the way. The company has officially begun using GenAI in its shows and films, signaling a major shift in how Hollywood might approach visual effects, pre-production, and viewer personalization. In 2025, Netflix confirmed the use of generative AI to help create a pivotal scene in the Argentine series El Eternauta, marking the first time final footage powered by GenAI made it onto the screen. This development answers one of the most searched questions today: Is Netflix using AI in its content production? Yes—actively and strategically. In this blog, we’ll explore how Netflix is leveraging generative AI across its platform, why it matters, and what it means for creators and viewers alike.
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GenAI in Netflix Visual Effects and Production
Netflix is embracing generative AI to streamline production processes and create more immersive visual effects. During the company's post-earnings call, co-CEO Ted Sarandos highlighted that the scene of a building collapsing in El Eternauta was completed ten times faster and at a significantly lower cost than using traditional VFX methods. This wasn’t just an experimental test; it was a real-world application that saved time and budget while enhancing creative execution. According to Sarandos, AI in film isn’t about replacing humans—it's about empowering them with better tools. With GenAI, directors and visual artists can pre-visualize scenes, plan complex shots, and produce high-quality effects without the financial barrier that usually limits such innovation to big-budget films.
This democratization of advanced visual effects means that independent creators and smaller studios could soon have access to the same high-end technology previously reserved for blockbuster productions. It also opens the door for faster iteration cycles, improved collaboration during early storyboarding, and enhanced realism in visual storytelling. Netflix’s in-house production team, in collaboration with external producers, is setting a new industry benchmark in how generative AI can be used responsibly and effectively in filmmaking.
Beyond Film: GenAI Powers Netflix Personalization and Ads
Netflix isn’t limiting its use of generative AI to visual effects. Co-CEO Greg Peters revealed that the company is also applying GenAI in areas like personalization, search, and advertising. Earlier in 2025, Netflix launched AI-powered search capabilities that provide smarter, more intuitive results based on a user’s viewing habits and preferences. This improved experience not only keeps users engaged but also increases content discovery—boosting watch time across lesser-known titles.
Perhaps even more disruptive is Netflix’s plan to introduce interactive, AI-generated ads in the second half of the year. These ads will adapt dynamically to user preferences, potentially transforming how streaming platforms monetize content. By customizing ad formats and messages in real time, Netflix is aiming to deliver value without compromising the viewing experience. The strategy also positions the company at the forefront of AI-led digital advertising, making it a trendsetter in merging entertainment with marketing innovation.
What GenAI Means for Creators and the Future of Netflix
For creators, the use of generative AI tools in Netflix productions means enhanced capabilities without compromising artistic vision. Sarandos emphasized that these are “real people doing real work with better tools,” reinforcing that AI is there to assist, not replace. From pre-visualization and shot planning to de-aging and environment generation, GenAI is becoming a production partner that expands creative boundaries.
While some in the industry have expressed concern over AI’s growing role, Netflix’s current use cases show a commitment to augmenting, not automating, the creative process. The integration of GenAI into non-English titles and global productions also aligns with Netflix’s goal of scaling storytelling across cultures and languages. With one-third of total views in early 2025 coming from non-English content, the efficiency and adaptability of GenAI could help diversify the types of stories that get made—and seen.
Netflix's broader AI push also ties into its financial momentum. In Q2 2025, the platform reported $11.08 billion in revenue (up 16% YoY) and a $3.13 billion profit. More than 95 billion hours of content were streamed in the first half of the year. These figures highlight a platform in strong health—one that’s now investing that success back into smarter, faster, and more inclusive content creation.
Is Netflix Leading a New AI-Powered Era in Streaming?
As Netflix adopts generative AI more widely, it’s clear that the platform is not just responding to industry trends—it’s actively shaping them. From creating complex VFX scenes in record time to rolling out interactive, personalized ads, Netflix is showing how GenAI can enhance every layer of content delivery. The company’s open embrace of AI-powered production workflows offers a glimpse into the future of film and television, where creativity is amplified by intelligent tools and global audiences receive more personalized, engaging experiences.
For viewers, this could mean more diverse content made faster and with higher production value. For creators, it means new possibilities and fewer limitations. And for the streaming industry at large, Netflix’s use of GenAI may be the signal that a true transformation has begun.
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