Netflix Deploys Generative AI Across 300 Titles in Cost-Cutting Push

Netflix revealed that production crews used generative artificial intelligence (AI) in approximately 300 of its titles this year. The company shared this metric in its second-quarter earnings letter to shareholders on Thursday.

The technology now functions as a regular part of the production pipeline rather than a small trial. Netflix reported that workflows involving generative AI stretched across every stage of development, including initial planning, pre-visualization, and final editing.

Most of the work took place during post-production to help adjust lighting, modify visual effects, and build crowd scenes.

The company detailed this strategy in a written update to its investors:

"Across the production lifecycle, from concept and pre-visualization through post and delivery, GenAI utilization by our creative partners is scaling quickly,"

"In 2026, GenAI workflows have been used in roughly 300 of our titles, with the largest concentration of work in post-production. We are increasingly leveraging these tools to deliver higher quality output more quickly and at a lower cost than traditional methods."

Three specific projects served as primary examples of the new workflow. These included the Indian crime series "Glory," the Brazilian sports miniseries "Brasil 70: A Saga do Tri," and the United States historical documentary series "The American Experiment".

Production teams used the software to build scenes that would normally exceed their budgets. They relied on algorithms to generate large crowds, historical battle sequences, and background shots that establish the setting of a show.

In the case of "The American Experiment," the production team generated 17 minutes of enhanced video using these systems. Netflix co-chief executive officer Ted Sarandos told investors during an earnings call that the work took half the typical time and cost half of conventional methods.

The heavy reliance on artificial intelligence comes as Netflix seeks to manage the growing cost of creating original programming. The company reported second-quarter revenue of $12.56 billion, which was a 13 percent increase from the previous year. That figure fell slightly short of the $12.58 billion that analysts expected, causing Netflix stock to drop after hours.

Netflix built much of its AI capacity through acquisitions and internal labs. In March, the company purchased InterPositive, an artificial intelligence startup co-founded by actor Ben Affleck, for $600 million.

InterPositive builds tools that work directly with filmed camera footage rather than generating video from written text prompts. This setup allows editors to automate tedious tasks and change the lighting of a scene without reshooting. Netflix combines this software with Eyeline, its special effects research group, and its internal animation studio.

Sarandos addressed growing concerns from actors and writers regarding job security and creative control. He insisted that the software serves to help human artists rather than replace them.

"We're broadly seeing that GenAI is starting to have an impact across hundreds of our productions. We're making higher quality output more quickly and efficiently than we could have using traditional methods,"

"We believe it takes great artists to make something great, and AI is not changing that. AI will give creatives better tools to bring their visions to life,"

"Movies are being made by people who make movies. AI provides them with better tools to make them even better."

The company expects its total content spending to rise by about 10 percent this year. This rate of growth remains higher than the average of the last five years but sits lower than the rapid spending increases seen over the past decade.