Multiple media reports say that streaming giant Netflix (NFLX) is planning to launch a new artificial intelligence (AI) animation studio called “INKubator.”
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The company known for its original movies and TV shows has posted public job listings for a new generative AI animation studio that it is calling INKubator. The studio apparently aims to “develop feature-quality content in a creator-led environment.”
INKubator is focused on AI-generated short form animation projects, according to the reports. However, it looks as though the animation studio might eventually make longer animated films. Netflix has had success with animation in the past. The 2025 original film “KPop Demon Hunters” was a global hit for the company.
AI Content at Netflix
Netflix is also looking at ways to use AI to create content. In March of this year, the company acquired actor Ben Affleck’s AI filmmaking start-up firm called “InterPositive” for a reported $600 million, depending on the company reaching certain milestones.
News of Netflix’s new AI-generated animation studio comes as the company reports a big upsurge in its advertising-supported streaming tier. Netflix reported on May 14 that its ad tier has now reached 250 million subscribers worldwide, up 31% in the past six months.
Is NFLX Stock a Buy?
Netflix’s stock has a consensus Strong Buy rating among 34 Wall Street analysts. That rating is based on 27 Buy and seven Hold recommendations issued in the last three months. The average NFLX price target of $116.06 implies 36% upside from current levels.
