Netflix has confirmed its first use of generative AI in visual effects production, leveraging the technology to create a complex scene in its upcoming Argentine science-fiction series El Eternauta. According to Netflix co-CEO Ted Sarandos, AI played a pivotal role in generating a dramatic building collapse sequence set in Buenos Aires—an ambitious scene that would have otherwise exceeded the show’s budget.
Speaking during the company’s quarterly earnings call, Sarandos emphasized the efficiency and creative potential unlocked by the technology. “In fact, that VFX sequence was completed 10 times faster than it could have been completed with traditional VFX tools and workflows,” he said. “The creators were thrilled with the result. We were thrilled with the result. And more importantly, the audience was thrilled with the result.” He called generative AI an “incredible opportunity to help creators make films and series better, not just cheaper.”
The visual effects were developed in collaboration with Netflix’s Eyeline Studios, a product innovation group specializing in advanced production technologies. The integration of AI allowed the creators of El Eternauta to depict large-scale destruction on a limited budget, demonstrating how AI can support storytelling in financially constrained projects.
Netflix’s move comes amid ongoing industry debates over the implications of AI in media production. Since generative AI tools gained momentum in 2022, their impact on creative industries has sparked both excitement and concern. In 2023, Hollywood saw widespread actors’ and writers’ strikes, which eventually led to revised guidelines regarding the use of AI in content creation.
Netflix co-CEO Greg Peters added that generative AI could also revolutionize user experience by improving search and discovery. “Saying, ‘I want to watch a film from the ’80s that’s a dark psychological thriller,’ and getting some results back … you just couldn’t have done in our previous experiences,” Peters explained. He further highlighted advertising as another area ripe for AI-driven innovation, saying, “We think these generative techniques can decrease that hurdle iteratively over time and enable us to do that in more and more spots.”
Netflix’s adoption of generative AI underscores a broader trend of integrating advanced technologies into content production and distribution, signaling a transformative moment for the entertainment industry.