Netflix: Will AI Shape the Future of Editing & Storytelling?

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Netflix used Gen AI in El Eternauta, known as The Eternaut to English-speaking audiences. Credit: Netflix
As Netflix uses AI in its post-production process for the first time, we look into how intelligence could shape the streaming services’ editing processes

Last month, Netflix co-CEO Ted Sarandos revealed that the company had, for the first time, used Gen AI to create final footage for one of its original productions.

The Eternaut is an Argentine science fiction series that hit our screens in April. 

Netflix uses Gen AI for first time in The Eternaut, an Argentine science fiction series | Credit: Netflix

To bring to life a building collapsing in Buenos Aires after contact with a deadly toxic snowfall, Netflix used a complex visual effects (VFX) sequence that was not only enhanced by AI, but synthetically generated by an internal production team working alongside VFX artists.

Why did Netflix use Gen AI for The Eternaut?

When announcing Netflix’s use of Gen AI, Ted cited three primary benefits. 

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First was speed: the VFX sequence was reportedly completed 10 times faster than would have been possible using traditional methods. 

Second was cost-effectiveness, a crucial point for a global studio managing hundreds of productions with varying budgets. 

Ted says: “The cost of it just wouldn’t have been feasible for a show in that budget.” 

Ted Sarandos, co-CEO of Netflix | Credit: Netflix

And finally, he presented it as a victory for creative enablement, asserting that the show’s creators were “thrilled with the result” and that such technologies “are helping creators expand the possibilities of storytelling on screen”.

On the subject of companies using AI for video production, Angela Hood – CEO and Founder of software company ThisWay and AI and data marketplace entity Sully's Sandbox  — says AI is “no longer experimental” but it is “in production” and “making money”.

She adds: “It's the same value proposition as other Gen AI conversations. 

Angela Hood, CEO and Founder of ThisWay

“Visual effects that cost millions can now cost thousands. Production timelines compress from months to days. 

“For studios of all shapes and sizes, the math is too simple to ignore.”

Saying “Hollywood rarely admits to using new technology until it’s proven,” she adds that “these admissions signal the proving is done”.

The Gen AI effect

But it's not just Hollywood embracing this change.

Gourav Ray is Regional Vice President at Salesforce, based in India. He emphasises how Indian film audiences have been wowed by VFX-driven epics like SS Rajamouli’s Baahubali and RRR. 

Gourav Ray, Regional Vice President at Salesforce

ā€œImagine creating that level of spectacle faster, smarter and without breaking the bank!ā€ he exclaims.

ā€œWhat’s remarkable isn’t just the technology, it’s the impact. 

ā€œSarandos admitted that the show’s budget would have never allowed for visuals of that scale using traditional VFX tools. 

ā€œThanks to Gen AI, the final footage was produced 10 times faster and at a fraction of the cost.

ā€œAs streaming platforms grapple with rising costs and tight timelines, this could be a glimpse into the future of entertainment.ā€

Ted believes that Gen AI could become mainstream in streaming content production within the next 18 to 24 months.

ā€œCould Gen AI be the new superstar of Indian blockbuster cinema?ā€ Gourav asks. ā€œI have a feeling SS Rajamouli is already watching this space.ā€

What next?

Gradually, filmmakers are moving from experimenting with Gen AI to fully implementing it in their productions — de-risking all elements of the filmmaking process.

Netflix brought life a building collapsing in Buenos Aires after contact with a deadly toxic snowfall with Gen AI in The Eternaut. Credit: Netflix

From AI-driven script analysis for character development to predictive analytics that help studios greenlight projects that align with audience demand, AI tools are providing a blueprint for commercial film production even before films make it to post-production.

This does not mean Netflix’s adoption of Gen AI comes without ethical concerns such as copyright issues and the impact on human labour, however. 

The use of AI was a major topic during the 2023 Hollywood strike, reflecting tensions around technology replacing traditional creative roles.

But for Ted, AI is rapidly evolving from a peripheral tool into a core technological engine driving the future of media creation.

“AI will lower costs but won’t replace humans for storytelling,” he affirms. “Those tools will become very much like visual effect tools, very much like computer animation. 

“You’re using the tools to tell the story and express yourself in a way that you couldn’t before.”

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