Netflix plans to add a vertical video feed, use AI for recommendations

Netflix is going to motorboat a TikTok-like vertical video provender wrong its apps this month, and plans to usage AI broadly for contented instauration and recommendations, the institution said connected Thursday.

Netflix has been investigating a vertical video provender since past year. The abbreviated video diagnostic could assistance users with discovering video podcasts, on with the existent slate of shows and movies. The institution is besides leaning much into utilizing AI for recommendations aft launching a ChatGPT-powered hunt diagnostic past year.

“We person been successful personalization and proposal for 2 decades, but we inactive spot tremendous country to marque it amended by leveraging newer technologies,” Netflix co-CEO Gregory Peters said during the company’s first-quarter league call. “Recommendation systems based connected caller exemplary architectures not lone amended existent personalization but besides fto america iterate and amended much quickly—adding enactment for antithetic contented types overmuch much efficiently.”

Co-CEO Ted Sarandos said helium sees AI tools improving the full contented instauration process. “In general, we expect GenAI to marque contented better; amended tools, amended processes […] It takes a large creator to marque large art, and AI won’t alteration that. But AI volition springiness those artists amended tools to bring those visions to life,” helium said.

Last month, Netflix bought Ben Affleck’s AI instauration institution Interpositive, which Sarandos said, has garnered involvement from creators.

“With our acquisition of Interpositive, we deliberation it accelerates our GenAI capableness due to the fact that it is proprietary exertion created specifically for filmmakers and filmmaking, antithetic from different GenAI video applications. While our ownership of Interpositive is precise new, we person generated involvement with creators who person spent clip with the tools, and we are seeing momentum physique astir adoption,” helium noted.

Netflix besides mentioned that it wants to usage AI to amended its advertisement suite, and let for caller formats and customization to get amended returns. The institution expects to make advertisement gross of $3 cardinal this year.

Netflix reported gross of $12.25 cardinal successful Q1 2026, up 16.2% year-year-year, and said nett jumped 83% to $5.28 billion. Alongside the first-quarter results, Netflix said its co-founder and chair, Reed Hastings, is leaving the company’s committee this summer.

Notably, the institution hiked subscription prices successful the U.S. precocious past month, which could person a affirmative interaction adjacent quarter. The institution said it ended 2025 with 325 cardinal paying subscribers.