The film industry is still figuring out how far to go with artificial intelligence but Netflix isn’t waiting around.
The streaming giant is leaning hard into generative AI, positioning itself to use the technology as a creative accelerator rather than a replacement for human storytellers.
Netflix’s AI Strategy: Boosting Creativity, Not Replacing It
In its latest quarterly earnings report, Netflix told investors it’s “well positioned to leverage ongoing advances in AI.”
The company isn’t trying to replace actors, writers, or directors.
Instead, it wants to help them create faster, smarter, and with more visual power.
As CEO Ted Sarandos put it during Tuesday’s earnings call:
“AI can give creatives better tools to enhance their storytelling. But it doesn’t automatically make you a great storyteller if you’re not.”
In other words, technology can sharpen creativity, but it can’t replace it.
Real-World Examples: AI Already at Work
Netflix has already started experimenting with generative AI in its productions:
- “The Eternaut” (Argentina): Used AI-generated footage to realistically depict a building collapse.
- “Happy Gilmore 2”: Leveraged AI to de-age characters in the film’s opening scene.
- “Billionaires’ Bunker”: Used AI during pre-production to visualize costumes and sets before filming began.
Sarandos says these early experiments prove that AI can make storytelling more efficient and help teams bring ideas to life faster, without compromising creativity.
“We’re all in on AI,” he said, “but we’re not chasing novelty for novelty’s sake.”
Hollywood’s AI Tension Grows
Still, not everyone in Hollywood is comfortable with this rapid shift.
Many artists and actors worry that AI models trained on copyrighted work, often without permission, could threaten creative jobs.
Recent controversy erupted after OpenAI launched Sora 2, an AI video model capable of generating realistic scenes from text.
The model currently lacks clear safeguards to prevent the misuse of real actors’ likenesses.
This led to backlash from SAG-AFTRA and actor Bryan Cranston, who publicly urged OpenAI to add stronger protections against deepfakes.
What This Means for the Future of Filmmaking
While some studios are cautiously testing AI behind the scenes, Netflix appears ready to lead the charge.
For now, the focus is on visual effects and production support, not replacing human talent.
But it’s clear the technology is changing the industry.
Even Sarandos admits that tools like Sora could reshape how content gets made.
“We’re not worried about AI replacing creativity,” he reassured investors.
By the Numbers
| Metric | Result |
|---|---|
| Quarterly Revenue | $11.5 billion |
| Year-over-Year Growth | 17% |
| Forecast | Fell slightly below projections |
Despite a small miss on projections, Netflix’s growing investment in AI may be one of its boldest bets yet – one that could redefine how streaming platforms produce and deliver stories worldwide.
