Netflix Expands Gen AI Strategy Across Streaming and Content Production

Netflix is expanding its use of generative artificial intelligence (AI) across its streaming platform, advertising operations and content creation, according to CNBC.

The company said it is “all in on leveraging AI,” calling the technology central to how it plans to enhance creativity, personalization and monetization. The announcement came as Netflix reported strong third-quarter results, with revenue rising 17 percent year over year to $11.5 billion and more than 9 million new paid memberships added globally.

CEO Ted Sarandos said AI represents “a significant opportunity for us to deliver benefits to our members, creators and business.” Netflix’s investor statement added that AI will help the company “improve how content is created, distributed and monetized,” underscoring its ambition to integrate generative tools throughout production and platform workflows.

Netflix has already begun deploying AI in several areas of content development. Its production guidance details how generative tools can assist with concept art, set design and visual effects under the supervision of creative teams. The company said AI will speed up production and expand creative options without replacing artists or writers.

Beyond production, AI is also reshaping Netflix’s viewer experience. The company plans to introduce new interactive and personalized advertising later this year. As PYMNTS reported, the initiative will allow viewers to engage with sponsored content during playback. Ads will adjust dynamically to viewer interests and context, enabling brands to connect with audiences in real time.

Netflix is also testing generative ad formats that integrate directly into programming, according to PYMNTS. These in-show ads would blend with storylines or scene transitions, creating seamless experiences that link entertainment and commerce. The company said these tools reflect a broader shift toward AI-driven advertising that can scale globally while maintaining local relevance.

Netflix’s strategy shows how streaming platforms are evolving into data-rich ecosystems where AI connects creative production, distribution and monetization. The company’s goal, Sarandos said, is to make entertainment “more personal, accessible and interactive” while positioning Netflix as a leader in AI-driven storytelling, advertising and audience engagement.

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