Netflix has used generative artificial intelligence to create visual effects on screen for the first time in one of its original productions, according to co-CEO Ted Sarandos. The streaming giant deployed AI technology to generate a building collapse scene in the Argentine science fiction series “The Eternauts,” marking a significant milestone in the entertainment industry’s adoption of AI-generated content.
What you should know: Netflix’s use of generative AI represents the first time the company has incorporated AI-created visual effects into final footage for an original series or film.
- The AI technology was used specifically to create a scene showing a building collapsing in “The Eternauts,” an Argentine science fiction show.
- The generative AI helped the production team complete the sequence 10 times faster than traditional special effects tools would have allowed.
- Sarandos emphasized that the cost of creating the scene using conventional methods “just wouldn’t have been feasible for a show in that budget.”
Why this matters: The move demonstrates how AI is enabling smaller-budget productions to access advanced visual effects previously reserved for high-budget Hollywood films.
- Sarandos described AI as an “incredible opportunity to help creators make films and series better, not just cheaper.”
- The technology allows productions with limited resources to compete with larger studios in terms of visual spectacle.
- This development comes amid ongoing industry debates about AI’s role in entertainment and its potential impact on traditional jobs.
Financial context: Netflix reported strong quarterly performance alongside the AI announcement, with revenue reaching $11.08 billion for the three months ending in June.
- The 16% year-over-year revenue increase exceeded expectations, driven partly by the success of “Squid Game” season three.
- The final season of the South Korean thriller has attracted 122 million views so far.
Industry tensions: The use of AI in entertainment remains controversial, particularly following the 2023 Hollywood strikes.
- AI was among the key concerns raised during the three-month Screen Actors Guild–American Federation of Television and Radio Artists walkout.
- The union called for tighter regulation of AI use in film and television production.
- Entertainment industry workers have expressed fears that AI could replace human jobs in creative fields.
What they’re saying: Netflix’s co-CEO praised the results of the AI-generated sequence in “The Eternauts.”
- “That sequence actually is the very first [generative] AI final footage to appear on screen in a Netflix original series or film. So the creators were thrilled with the result,” Sarandos said.
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