Netflix is going to launch a TikTok-like vertical video feed within its apps this month, and plans to use AI broadly for content creation and recommendations, the company said on Thursday. Netflix has been testing a vertical video feed since last year. The short video feature could aid users with discovering video podcasts, along with the current slate of shows and movies.
The company is also leaning more into using AI for recommendations after launching a ChatGPT-powered search feature last year. But AI will give those artists better tools to bring those visions to life,” he said. Last month, Netflix bought Ben Affleck’s AI creation company InterPositive, which, Sarandos said, has garnered interest from creators.
While our ownership of InterPositive is very new, we have generated interest with creators who have spent time with the tools, and we are seeing momentum build around adoption,” he noted. Netflix also mentioned that it wants to use AI to improve its ad suite, and allow for new formats and customization to get better returns. The company expects to generate ad revenue of $3 billion this year.
Netflix reported revenue of $12.25 billion in Q1 2026, up 16.2% year-year-year, and said profit 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 board this summer. Notably, the company hiked subscription prices in the U.S. late last month, which could have a positive impact next quarter.
The company said it ended 2025 with 325 million paying subscribers.
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