Netflix has officially confirmed a significant step into the realm of artificial intelligence in production, utilizing generative AI for a visual effects (VFX) scene in its original Argentine sci-fi drama, "The Eternaut," which premiered in April 2025. This marks a pivotal moment as it is reportedly the first original series or film on the platform to feature final on-screen footage produced using this advanced technology, signaling Netflix's growing interest in AI-powered production tools.

During a recent earnings call, Netflix co-CEO Ted Sarandos disclosed that the generative AI was specifically employed to create a complex shot depicting a building collapse in Buenos Aires. Sarandos emphasized that this particular scene would have been prohibitively expensive and largely unfeasible to produce using traditional VFX methods, given the show's budgetary limitations. He lauded the efficiency of the AI-powered tools, stating that "Using AI powered tools, they were able to achieve an amazing result with remarkable speed."

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He further elaborated that the VFX sequence was completed "10 times faster than it could have been completed with… traditional VFX tools and workflows," underscoring the substantial gains in production velocity. The creative team behind "The Eternaut" collaborated with Eyeline Studios, an internal Netflix production innovation group, to bring this dramatic scene to life. Sarandos firmly believes that "AI represents an incredible opportunity to help creators make films and series better, not just cheaper," highlighting a strategic vision for integrating AI not just as a cost-saving measure, but as a tool for creative enhancement.

Despite Netflix's enthusiastic embrace, the adoption of generative AI in the entertainment industry has not been universally welcomed by creatives. This technology has been a prominent flashpoint in Hollywood, particularly during the labor unrest of 2023, which culminated in new guidelines regarding its usage. A primary concern among industry professionals is the potential for AI to displace human jobs. Furthermore, there remains an unresolved question about whether the generative AI models employed in such productions might have been illegally trained on copyrighted material, adding another layer of controversy to its deployment.

Looking beyond visual effects, co-CEO Greg Peters discussed broader applications for generative AI within Netflix. He envisions AI improving the user experience, citing the potential for viewers to use spoken commands to discover content, such as saying, "'I want to watch a film from the '80s that's a dark psychological thriller,' and getting some results back." Peters noted that such intuitive search capabilities were not possible with previous systems, making it "super-exciting." Advertising also presents a significant opportunity for generative AI, according to Peters, as brands and marketers seek to create compelling content more efficiently. He believes these generative techniques can "decrease that hurdle iteratively over time and enable us to do that in more and more spots," streamlining content creation for promotional purposes.

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In essence, Netflix's use of generative AI in "The Eternaut" marks a significant milestone in its production strategy, demonstrating a commitment to leveraging advanced technology for both efficiency and creative potential, even as the broader entertainment industry navigates the complex ethical and labor implications of AI integration.