In an effort to cut expenses and expedite production, Netflix has disclosed that it has implemented generative artificial intelligence (AI) for the first time in one of its original series. Ted Sarandos, co-CEO, revealed that artificial intelligence was used to create a significant visual effects sequence in the new Argentine science fiction series “The Eternaut.”
Sarandos claimed that the scene, which showed a building collapse in Buenos Aires, was finished “ten times faster” than it would have been with conventional visual effects equipment. He said, “This was the first generative AI final footage to appear on screen in a Netflix original,” adding that the creators were “thrilled with the result.”
Sarandos claims that by utilizing AI, an otherwise costly scene was made possible within the show’s constrained budget. The entertainment industry is divided over generative AI, which creates pictures and videos in response to text commands.
Critics claim it endangers creative jobs and uses artists’ work for other purposes without permission. These issues were at the heart of the 2023 Hollywood strike, in which the American Federation of Television and Radio Artists (SAG-AFTRA) and the Screen Actors Guild called for more robust safeguards against the unchecked application of artificial intelligence.
Some believe Netflix’s move is inevitable despite the continuous debate. Co-founder of the Singaporean animation company CraveFX, Davier Yoon, predicted that more big studios would soon adopt generative AI.
Yoon asserted that AI “AI definitely opens the gate to allow smaller studios to achieve big-budget-looking visuals,” “Ultimately, it is the artist who decides what ends up in the final image, not the AI.”
The technology is still controversial, though. Hollywood producer Tyler Perry postponed a $800 million expansion of his Atlanta studio in 2024, citing worries that the rapid advancement of AI would result in a large loss of jobs in the creative industry.
His choice was made in the face of mounting anxiety after the introduction of programs like OpenAI’s Sora, which can produce excellent video in response to basic text commands.
Sarandos’ comments came as Netflix released impressive second-quarter 2025 financial results. Profits increased from $2.1 billion to $3.1 billion, and the company reported a 16% year-over-year increase in revenue to $11 billion.
The success of Squid Game Season 3, which received 122 million views worldwide, served as a catalyst for the performance.
