Netflix reveals its first AI-made VFX scene, says it was made in record time and saved lot of money

Netflix has made a significant move into the realm of artificial intelligence by employing it to create a visual effects (VFX) sequence in one of its original shows. The sequence depicting a building’s collapse was produced for the Argentine sci-fi series The Eternauts, marking the first occasion that the streaming service has utilized generative AI for final footage in its original films or series. Netflix co-CEO Ted Sarandos revealed this during the most recent quarterly earnings call.

He mentioned that the AI-created scene enabled the creators to realize their vision more quickly and affordably than typical, which would have been unattainable with conventional tools due to the show’s tight budget.

According to Sarandos, this particular sequence would have taken nearly ten times longer to complete using conventional VFX methods. “That VFX sequence was completed 10 times faster than it could have been completed with traditional visual VFX tools and workflows,” he said, explaining how AI made a big difference in the production process. He added, “The cost of it just wouldn’t have been feasible for a show in that budget.”

Netflix collaborated with Eyeline Studios, a dedicated production and innovation group, to develop the scene. Sarandos stated that the outcome impressed both the creators and the company, demonstrating AI’s potential not only to lower expenses but also to aid in realizing ambitious concepts. However, using generative AI in filmmaking remains a sensitive issue in the entertainment industry.

The technology emerged as a significant source of disagreement during the Hollywood strike in 2023, as writers and actors voiced worries about the potential impact of AI on their employment. Numerous individuals in the field are concerned that AI could ultimately substitute the roles of writers, VFX artists, and other creative workers, resulting in unemployment and diminished creative autonomy.

Netflix’s recent action is expected to ignite new discussions regarding the ethical application of AI in the entertainment industry. Sarandos indicated that Netflix plans to keep looking for methods to utilize AI in enhancing content creation while preserving the human element. In the meantime, co-CEO Greg Peters showcased additional potential uses of AI on the platform. He discussed how AI could enhance the viewer experience by simplifying content searches through natural language queries.

“You could say something like ‘I want to watch a film from the 80s that’s a dark psychological thriller,’ and the system could quickly pull up recommendations,” Peters said. He also pointed out that generative AI could help advertisers create more targeted content, reducing production time and cost while keeping ads relevant.

The announcement came alongside Netflix’s financial report for the April to June quarter, where the company posted $11.08 billion in revenue, a 16 percent increase compared to the same period last year. Part of this success was driven by popular titles like Squid Game: The Challenge, which drew more than 122 million views.