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

Netflix plans to launch a TikTok-like vertical video feed within its app this month and plans to use AI extensively for content creation and recommendations, the company said Thursday.

Netflix has been testing a vertical video feed since last year. The short video feature can help users find video podcasts along with listings of the latest shows and movies. The company is also paying more attention to using AI for recommendations after launching its ChatGPT-based search feature last year.

“We’ve been in the personalization and recommendations space for 20 years, but we still see tremendous room to leverage new technologies to create better services,” Netflix co-CEO Gregory Peters said during the company’s first quarter conference call. “Recommender systems based on our new model architecture not only improve our current personalization, but also allow us to iterate and improve faster, adding support for different content types much more efficiently.”

Co-CEO Ted Sarandos said AI tools will improve the entire content creation process. “In general, we expect GenAI to create better content, better tools, and better processes. (…) It takes great artists to create great works of art, and AI won’t change that. But AI will give artists better tools to bring that vision to life,” he said.

Last month, Netflix acquired Ben Affleck’s AI creative company Interpositive, which Sarandos said has caught the attention of creators.

“By acquiring Interpositive, we believe we are accelerating GenAI capabilities as this is a proprietary technology built specifically for filmmakers and filmmaking, unlike other GenAI video applications. Although our ownership of Interpositive is very new, we have piqued the interest of creators who have invested time in using this tool and are seeing momentum building around adoption,” he said.

Netflix also mentioned that it wants to use AI to improve its ad suite and allow for new formats and customizations to drive better revenue. The company expects to generate $3 billion in advertising revenue this year.

Netflix announced that its revenue for the first quarter of 2026 was $12.25 billion, a 16.2% increase from the same period last year, and profit was $5.28 billion, an 83% increase. Along with its first quarter results, Netflix announced that co-founder and chairman Reed Hastings will leave the company’s board of directors this summer.

In particular, subscription fees were increased in the United States at the end of last month, which may have a positive impact on the next quarter. The company said it ended 2025 with 325 million paying subscribers.