Netflix plans to introduce a TikTok-style vertical video feed within its app this month, as well as expand its use of artificial intelligence across content discovery and creation, according to a report from TechCrunch.
The company has been testing short-form vertical video capabilities since last year, aiming to enhance discovery of content across its catalog, including video podcasts alongside movies and series. The move reflects Netflix’s broader efforts to improve user engagement through new formats within its platform.
Co-CEO Gregory Peters said on the company’s first-quarter conference call that Netflix has long focused on personalization and recommendation systems, but believes there is significant room for improvement using newer technology. He said the advanced model architecture is expected to enhance existing systems while enabling faster iteration and more efficient integration of different content formats.
Co-CEO Ted Sarandos said the company views generative AI as a tool to improve the entire content creation process, adding that while creative outcomes still depend on artists, AI can provide better tools to realize those ideas more effectively.
Last year, Netflix introduced search capabilities powered by ChatGPT to enhance discovery capabilities, and is now expanding AI applications across its ecosystem. As part of this strategy, the company recently acquired InterPositive, an AI-focused content production company founded by Ben Affleck. Sarandos said the acquisition is expected to accelerate Netflix’s generative AI capabilities and is seeing increased interest from creators experimenting with the platform’s tools.
Netflix is also exploring the use of AI to power its ad suite, and plans to introduce new formats and greater customization aimed at increasing revenue. The company expects to generate about $3 billion in advertising revenue this year.
In its financial update, Netflix reported first-quarter 2026 revenue of $12.25 billion, an increase of 16.2% year over year, and profit of $5.28 billion, an increase of 83%. The company also announced that co-founder and chairman Reed Hastings will step down from the board this summer.
The company recently increased its subscription prices in the US, which could have a positive impact on next quarter’s results. Netflix added that it will end 2025 with 325 million paid members worldwide.
