Netflix Co-CEO Discusses Future of AI in TV and Film Content

During Netflix’s recent earnings call, co-CEO Ted Sarandos expressed uncertainty regarding the impact of artificial intelligence (AI) and generative AI on the platform's TV and film content. However, Sarandos believes that these technologies could offer powerful tools to creators. When asked about Netflix's exploration of generative AI and its potential effects on discoverability and content, Sarandos referred to technology's role in the evolution of the animation sector, specifically the shift from hand-drawn animation to computer-generated imagery (CGI). He argued that despite this advancement, animation costs have not decreased, and job opportunities in the field have actually increased. This counters concerns about AI replacing human creators and reducing costs. Sarandos stated, "I think that AI is going to generate a great set of creator tools, a great way for creators to tell better stories. And one thing that’s sure, if you look back over 100 years of entertainment, you can see how great technology and great entertainment work hand in hand to build great big businesses. " He acknowledged that numerous filmmakers and producers are currently experimenting with AI and are excited about its potential as a useful tool. However, he emphasized the need to observe how these developments unfold before making any concrete predictions about their implications.
Regardless, Netflix's primary goal remains unchanged: telling great stories. Moreover, Sarandos highlighted that audiences prioritize quality over the technology used to deliver content. He noted that viewers connect with shows and movies through the beauty of the writing, the chemistry among actors, the plot's intrigue, and unexpected twists. While audiences may recognize the presence of technology and other elements, their primary concern lies in connecting with the storytelling itself. Budgets and technology may be of lesser importance to viewers. Co-CEO Greg Peters added that Netflix has been utilizing similar technologies for many years to enhance engagement and believes that generative AI can further improve their recommendation and discovery systems. The aim is to make it even easier for viewers to discover and enjoy a captivating story tailored to their preferences at any given moment.
Brief news summary
Netflix co-CEO Ted Sarandos has expressed uncertainty about how artificial intelligence (AI) and generative AI will impact TV and film content on the platform, but he believes they could offer powerful tools for creators. Sarandos cited the evolution of technology in the animation sector, where the use of CGI has not reduced costs or eliminated jobs, but rather improved storytelling. He noted that many filmmakers and producers are currently experimenting with AI and finding it to be a useful tool. Sarandos emphasized that audience satisfaction stems from the quality of storytelling, rather than the technology used. In terms of discovery, Netflix co-CEO Greg Peters stated that generative AI has the potential to enhance recommendation and discovery systems, making it easier for viewers to find stories that resonate with them.
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