What does Netflix’s use of AI mean for TV’s future?
Netflix has used generative artificial intelligence (AI) to produce visual effects in one of its original series for the first time, marking a significant moment for the streaming giant and the wider entertainment industry.
The scene in question – a collapsing building featured in the upcoming Argentine science fiction drama El Eternauta – was created using AI tools developed by Eyeline Studios, Netflix’s in-house production tech group.
Netflix co-chief executive Ted Sarandos said the technology helped speed up the visual effects (VFX) process dramatically.
“That VFX sequence was completed ten times faster than it could have been completed with traditional VFX tools and workflows”, he said during the company’s second-quarter earnings call on Friday.
He also noted that without AI, the sequence likely would have been unaffordable for a series with that budget.
This marks the first time generative AI footage has appeared on-screen in a Netflix original series or film.
The human cost
Netflix says its use of AI is aimed at enabling more ambitious storytelling, particularly for creators working with smaller budgets.
“We remain convinced that AI represents an incredible opportunity to help creators make films and series better, not just cheaper”, Sarandos told analysts.
Co-chief executive Greg Peters added that AI could also be used to improve the platform’s user experience, for example, enabling voice-based search tools.
“Saying ‘I want to watch a film from the ’80s that’s a dark psychological thriller’ and getting results back – you just couldn’t have done that before”, he said.
However, the wider use of AI in the entertainment industry remains a source of concern for many.
During the 2023 Hollywood strikes, the use of AI in scriptwriting, acting likeness, and visual production became one of the key points of contention.
Agreements reached later that year set limits on how the technology could be used – but tensions remain.
The British Film Institute (BFI) recently published a report warning that growth in AI-generated content could disrupt the UK’s £21 billion screen sector.
It highlighted risks to copyright protection and entry-level creative jobs, while also acknowledging potential efficiencies and cost savings.
Studios experiment, as legislators catch up
Netflix is not alone in testing AI tools. Other entertainment companies including Lionsgate, AMC, and Audible, have all begun exploring generative AI for dubbing, pre-visualisation, and even animation.
Meanwhile, startups like Runway and OpenAI are pushing the limits of what AI can produce, with increasingly realistic short films created from simple text prompts.
At the same time, regulation continues to lag. In the UK, an amendment that would have required AI developers to disclose the copyrighted content used to train models was rejected by the government, despite support from industry leaders and artists.
Figures like Sir Elton John and Sir Paul McCartney have publicly warned that unregulated AI poses long-term risks to creators’ rights and income.
A turning point?
Within the industry, opinions are divided. Some see AI as an inevitable and potentially useful addition to the creative toolkit.
Others worry that it could devalue human craft, replace jobs, or erode the foundation of intellectual property rights.
For now, Netflix claims its approach is creator-led. “This is real people doing real work with better tools,” Sarandos said.
But as AI becomes more common in the production pipeline, the entertainment world is watching closely, and asking whether this is a tool to support creativity, or a transformation that redefines it entirely.