Netflix is set to revolutionize its search experience with an AI-powered interactive search feature, announced CEO Greg Peters during the company's first-quarter results conference call. This move aims to improve the discovery experience for users, who often struggle to find new titles beyond the most popular ones.

The new search feature will utilize generative technologies to help users find different titles, addressing a long-standing issue where the company's most popular titles dominate popular conversation, drawing only 1% of traffic. Peters emphasized the importance of improving discovery and recommendation to provide more value to members and attract larger audiences for Netflix's titles.

This development comes on the heels of a Bloomberg report earlier this month, which revealed that Netflix has been testing OpenAI-powered search with select customers in Australia and New Zealand. The company plans to roll out the feature widely later this year, alongside a new home page design for its TV app. The redesigned homepage, which has been in testing, brings a fresh way to display show titles and descriptions, and is expected to significantly improve the overall discovery experience.

Peters highlighted the significance of the homepage redesign, noting that it marks the first major structural change to the feature in over a decade. The company has been refining the experience based on user feedback, and is confident that it will have a positive impact on user engagement.

The announcement comes as Netflix reports a 12.5% increase in revenue to $10.54 billion in the first quarter, compared to the same period last year. The company's efforts to enhance the user experience are likely to play a crucial role in driving growth and retaining subscribers in an increasingly competitive streaming landscape.

The integration of AI-powered search is a strategic move by Netflix to stay ahead of the curve, as users increasingly expect personalized and intuitive experiences from their streaming services. By leveraging generative technologies, Netflix can provide users with more accurate and relevant search results, ultimately leading to increased user satisfaction and loyalty.

As the streaming wars continue to intensify, Netflix's focus on improving discovery and recommendation is a key differentiator that sets it apart from its competitors. The company's commitment to innovation and user experience is likely to pay off in the long run, as it continues to attract and retain subscribers in a rapidly evolving market.