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The Handelot Times
AI & robots

Real case studies: when software beat hardware

When Software Beat Hardware In a world where hardware scaling is bumping into physical, thermal, and cost ceilings, software optimizations are becoming the unsung heroes.

The Handelot Times Issue 58, November 2025 5 min read

1. Netflix’s per-title encoding: tailored bitrates, lower cost

Perhaps the best-known example of software outpacing hardware come from video streaming. Netflix’s Per-Title Encode Optimization is well documented and widely cited. How it works:

Instead of using a fixed bitrate ladder (same set of resolutions/bitrates) for all video titles, Netflix encodes hundreds of combinations for each title to derive a convex hull of optimal resolution/bitrate tradeoffs. Then, they build a custom adaptive bitrate ladder per title based on that hull.

Later enhancements include shot-based encoding, which refines bitrate allocation at the scene / shot level inside a single video.

Real-world impact:

Public statements and reporting say that Netflix’s method yields ≈ 20 % bandwidth (bitrate) savings on average compared to static ladders.

The rest of this article is in the magazine Continue in issue 58

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