Netflix fears a rise in the use of Generative Artificial Intelligence by its competitors will "adversely" impact its business.

Whilst it is still early days for the technology that can produce content such as audio, text, code, video, images, and other data, the streaming giant is already concerned with its impact on the industry.

In its annual report for the US Securities and Exchange Commission (SEC), Netflix said: “New technological developments, including the development and use of generative artificial intelligence, are rapidly evolving. If our competitors gain an advantage by using such technologies, our ability to compete effectively and our results of operations could be adversely impacted.”

It also warned: “In addition, the use or adoption of new and emerging technologies may increase our exposure to intellectual property claims, and the availability of copyright and other intellectual property protection for AI-generated material is uncertain.”

Meanwhile, Netflix has removed the COVID-19 pandemic from its risk report.

It comes after Netflix was criticised for listing a role as a product manager in the company’s machine-learning department amid the Hollywood writer's strike, although the job has nothing to do with Generative AI.

Both writers and actors walked out last year and joined picket lines over concerns about the potential impact of AI on their jobs.