Netflix has pioneered the use of artificial intelligence in its television programming. The head of the streaming service has successfully made productions both more affordable and of higher quality.
According to Netflix co-CEO Ted Sarandos, the Argentine science fiction series El Eternauta (The Eternaut) was the first to utilize AI-generated footage.
“I believe AI offers a remarkable opportunity to assist creators in enhancing the quality of films and series, rather than merely reducing costs,” he shared with analysts following Netflix’s second-quarter report on Thursday.
He explained that the series, which depicts survivors facing a rapid and disastrous toxic snowfall, showcased collaboration between Netflix and Visual Effects (VFX) artists who employed AI to illustrate the downfall of Buenos Aires.
“Utilizing AI-enhanced tools enabled them to achieve remarkable outcomes at unprecedented speeds. In fact, the VFX sequences were finalized ten times faster than with traditional VFX methods,” he noted.
Sarandos pointed out that the integration of AI tools allows Netflix to finance the show at considerably lower costs compared to conventional large productions.
“The expenses for [special effects without AI] would have been unfeasible for that budget,” Sarandos mentioned.
Concerns around job security have emerged within the entertainment sector due to the introduction of generative AI, particularly affecting production and special effects roles.
In 2023, AI was a significant point of contention during a dual strike involving Hollywood actors and writers, leading to agreements that ensured emerging technologies are harnessed for the benefit of workers rather than to eliminate jobs.
Sarandos emphasized, “These tools are for real people doing real work with enhanced resources. Our creators have begun to experience the advantages of production via pre-visualization, shot planning, and definitely visual effects. I believe these tools will empower creators to broaden their storytelling horizons on screen.”
His remarks followed the announcement of Netflix achieving $11 billion in revenue for the quarter ending in June, reflecting a 16% year-over-year increase.
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The company noted that better-than-expected results were driven by the popularity of the third and final season of the Korean thriller Squid Game.
Netflix anticipates that its small yet rapidly expanding advertising division will “almost double” this year.
“The quarter’s performance that surpassed expectations can be attributed to excellent content, increased pricing, and the momentum of ads all coming together,” remarked Mike Proulx, Vice President of Research at Forrester. “There is still more work required to enhance advertising capabilities, but the toughest challenges are behind Netflix with the comprehensive launch of its own ad tech platform.”
Source: www.theguardian.com
