Netflix’s Generative AI Revolution: How AI Is Redefining Streaming Production and Viewer Experience in 2025

Netflix is at the forefront of a generative AI revolution in streaming, transforming how content is produced and experienced in 2025. CEO Ted Sarandos revealed that the company used generative AI to create a complex, high-stakes scene featuring a building collapsing in the Argentine sci-fi series El Eternauta. Traditionally, such sequences would require extensive planning, physical models, or costly CGI work, often taking weeks or months to complete. Thanks to AI, the scene was produced significantly faster and at a fraction of the cost—without compromising on visual quality. This milestone marks a turning point: AI-generated visual effects are no longer limited to early concept previews or rough drafts. Instead, they are now being integrated directly into final, broadcast-ready footage, demonstrating the technology’s maturity and reliability. Netflix’s adoption of generative AI reflects a broader shift across the entertainment industry, where studios are leveraging AI to accelerate production timelines, reduce expenses, and unlock new creative possibilities. The company’s approach involves using AI tools to generate realistic environments, animate characters, and simulate complex physical phenomena like explosions, weather effects, and large-scale destruction. These capabilities allow smaller production teams to achieve results once reserved for big-budget Hollywood films. By automating labor-intensive tasks, Netflix can focus more on storytelling and innovation, while also scaling content creation across its global library. Beyond visual effects, Netflix is exploring AI for script development, personalized content recommendations, and even generating synthetic voiceovers and dubbing in multiple languages. This holistic integration of AI enhances both the efficiency of production and the personalization of the viewer experience. As competition in the streaming space intensifies, Netflix’s early investment in generative AI gives it a strategic edge. The company is not only cutting costs but also expanding its creative capacity, enabling faster turnaround on new series and films. With AI becoming a core part of its production pipeline, Netflix is setting a new standard for how streaming content is made—and how audiences engage with it.