Netflix talked about how it is leaning into generative artificial intelligence in a number of practical ways as part of its third quarter shareholder letter.
Some of the use cases will be unobjectionable. “We’re leveraging GenAI to further enhance the member experience by improving the quality of our recommendations and content discovery features,” Netflix says.
“One example is our beta testing of a conversational search experience that allows members to use natural language to explore the catalog and discover the perfect title for that moment.Z”
Netflix also is “using GenAI to localize promotional assets in a variety of languages so titles can more easily travel to audiences who will love them around the globe.”
The use of GenAI in preproduction or special effects might be slightly more concerning for some, but Netflix stays away from using AI to displace actors.
“In Happy Gilmore 2, filmmakers used GenAI coupled with ML (machine learning) and Eyeline’s proprietary volumetric capture technologies to de-age characters during the opening flashback scene,” Netflix notes.
“And the producers of Billionaires’ Bunker used various GenAI tools during pre-production, including for pre-visualization to explore wardrobe and set designs,” Netflix adds.
To support its advertising business, Netflix is “using AI to test new ad formats, to generate the most relevant ad creative and placement for members, and for faster development of media plans.”
AI Use Area | Current Implementations (2025) | Future / Emerging Uses | Purpose |
Content Production | Generative AI for pre-production planning, set design, wardrobe visualization, and storyboarding (https://techcrunch.com/2025/10/21/netflix-goes-all-in-on-generative-ai-as-entertainment-industry-remains-divided/ ) | AI-assisted script generation and automated scene visualization for faster creative iteration ( https://www.webpronews.com/netflix-ceo-ai-wont-replace-human-creativity-like-taylor-swifts/ ) | Streamline creative workflows and lower production costs |
Visual Effects (VFX) | AI used inThe Eternautto simulate a collapsing building; inHappy Gilmore 2for de-aging actors (https://techcrunch.com/2025/10/21/netflix-goes-all-in-on-generative-ai-as-entertainment-industry-remains-divided/ ) | Real-time generative rendering for special effects and personalization of visuals ( https://www.webpronews.com/netflix-ceo-ai-wont-replace-human-creativity-like-taylor-swifts/ ) | Reduce post-production costs and expand visual possibilities |
Recommendation Algorithms | Machine learning and reinforcement learning for personalized content recommendations, thumbnail selection, and content tagging ( https://litslink.com/blog/all-about-netflix-artificial-intelligence-the-truth-behind-personalized-content ) | Adaptive recommendation models integrating generative storytelling and contextual emotion detection ( https://www.shaped.ai/blog/key-insights-from-the-netflix-personalization-search-recommendation-workshop-2025 ) | Increase engagement and viewing time |
User Interface and Discovery | Beta “conversational search” uses generative AI to let users find titles via natural language queries (https://www.storyboard18.com/amp/digital/netflix-doubles-down-on-ai-innovation-to-enhance-storytelling-and-advertising-efficiency-82916.htm ) | Voice and emotion-aware interfaces enabling AI-generated playlists or theme-based browsing ( https://www.storyboard18.com/amp/digital/netflix-doubles-down-on-ai-innovation-to-enhance-storytelling-and-advertising-efficiency-82916.htm ) | Make navigation more intuitive and human-like |
Localization | Generative AI used for multilingual dubbing, subtitles, and localized marketing assets across global regions ( https://www.outlookbusiness.com/news/netflix-says-it-is-well-positioned-to-integrate-ai-but-human-storytellers-stay-central ) | Full synthetic voice localization while maintaining actor tone consistency ( https://www.outlookbusiness.com/news/netflix-says-it-is-well-positioned-to-integrate-ai-but-human-storytellers-stay-central ) | Expand international reach efficiently |
Advertising Optimization | AI-driven ad targeting and creative generation improve ad revenue efficiency for Netflix’s ad-supported tier ( https://www.cnbc.com/2025/10/22/netflix-all-in-on-leveraging-ai-in-its-streaming-platform.html ) | Dynamic, generative ad personalization matching user mood and session context ( https://www.neowin.net/news/netflix-says-its-doubling-down-on-ai-in-its-media-and-ads/ ) | Enhance advertising ROI and viewer relevance |
Game Development | Generative AI tools supporting story and character ideation for Netflix’s interactive games section (https://dataconomy.com/2025/10/22/netflix-goes-all-in-on-generative-ai-for-filmmaking/ ) | Procedural AI-generated environments and adaptive storytelling in games (https://dataconomy.com/2025/10/22/netflix-goes-all-in-on-generative-ai-for-filmmaking/ ) | Create scalable game content aligned with brand franchises |
AI Governance and Ethics | Partner disclosure requirements, legal approvals for likeness simulation, and provenance tracking for AI use ( https://dataconomy.com/2025/10/22/netflix-goes-all-in-on-generative-ai-for-filmmaking/ ) | Broader ethical AI governance framework monitoring data provenance and creation metadata (https://partnerhelp.netflixstudios.com/hc/en-us/articles/43393929218323-Using-Generative-AI-in-Content-Production ) | Ensure transparency and protect creator/IP rights |
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