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Netflix Embraces Generative AI with 'El Atonata' Breakthrough

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AI powers VFX in El Eternauta.
Netflix has officially entered a new era of content creation by integrating "generative artificial intelligence " into its production pipeline, with the first application featured in the Argentine series "El Atonata".

The announcement was made during the company’s post-earnings conference call on July 17.

Co-CEO "Ted Sarandos" revealed that AI was used to create final footage for a "building collapse scene", completed "ten times faster" and at a "lower cost" than traditional visual effects methods.

The move signals a major shift in how visual storytelling could evolve across global media.

“We see AI not just as a cost-saving tool, but as a creative enabler,” said Sarandos.

“There are AI-powered tools that empower real creators to do more with less.

Our teams are already seeing its benefits in pre-visualisation, shot planning, and VFX”.

Previously, sophisticated visual effects like "de-aging" were largely reserved for big-budget productions.

However, Netflix believes AI is democratizing access to these tools, allowing smaller-scale projects to achieve high production value.

Netflix’s other co-CEO, "Greg Peters", added that GenAI is also being leveraged in "personalisation", "search", and "advertising".

The company plans to introduce "interactive AI-powered ads" in the second half of 2025, following the successful rollout of its "AI-enhanced search" function earlier this year.

In its Q2 2025 earnings report, Netflix posted a "16% year-over-year revenue growth", reaching "$11.08 billion", with profits at "$3.13 billion".

Viewership also soared, with users watching over "95 billion hours of content" in the first half of the year.

Notably,"non-English titles accounted for one-third" of total views, highlighting Netflix’s global content strategy.

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