Update: A day later the two builds still say processing but I just submitted a new build and it was processed.
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I believe Netflix / Hulu are using some sort of DRM video protection that isn't easily accessible (but would love to hear otherwise).
That said, most of the solutions I found involve checking the UIScreen.main.isCaptured property which tells you if a screen recording is occurring or not which you can then use to blank out the screen, etc...
The tricky part is capturing the various states:
When recording happens when the app is running, you can get notified via UIScreen with UIScreen.main.addObserver(self, forKeyPath: "captured", options: .new, context: nil)
If recording was already occurring when opening your app you should check the isCaptured property in sceneWillEnterForeground
For whatever reason the first frame will show up in the screen recording (because there's no e.g. willCapture event) but happy to hear if there's a solution for that issue.