Netflix Makes Historic Move With $83 Billion Warner Bros. Discovery Acquisition

Streaming powerhouse Netflix has announced one of the most transformative deals in entertainment history, revealing plans to acquire Warner Bros. Discovery for nearly $83 billion. The move marks the entertainment industry’s most significant consolidation in the past decade and signals Netflix’s growing ambition to become the dominant player in global media and storytelling.

The massive acquisition gives Netflix access to one of Hollywood’s most iconic catalogs, along with the prestigious streaming service HBO Max, positioning the company to reshape the future of film and television distribution.

Through the acquisition, Netflix secures rights to a vast and storied library spanning generations. Warner Bros. is home to timeless classics such as Casablanca and Citizen Kane, as well as modern legends including Game of Thrones, The Sopranos, Harry Potter, and other cultural touchstones that have shaped global entertainment.

Ted Sarandos, co-CEO of Netflix, celebrated the deal as a historic opportunity.
“Together, we can give audiences more of what they love and help define the next century of storytelling,” he said, referencing Netflix’s global hits like Stranger Things, Squid Game, and the recently released KPop Demon Hunters.

Netflix Expands Its Empire With Warner Bros. and HBO Max

The acquisition dwarfs Disney’s landmark $71 billion purchase of Fox in 2019, which previously held the record for the decade’s largest entertainment merger.

According to both companies, the deal values Warner Bros. Discovery at $27.75 per share, resulting in a total equity valuation of approximately $72 billion, with the enterprise value — including debt — reaching just under $83 billion.

Warner Bros. Discovery stock closed at $24.54 on Thursday, shortly before the announcement. The boards of both companies unanimously approved the transaction, which is expected to finalize within 12 to 18 months, pending regulatory review.

David Zaslav, CEO of Warner Bros. Discovery, described the merger as a union of legacy and innovation.
“Today’s announcement combines two of the greatest storytelling companies in the world,” he said.

The merger comes after Warner Bros. Discovery officially put itself up for sale in October, dropping previous plans to split into separate divisions for streaming and traditional cable operations.

While the acquisition strengthens Netflix’s position as the world’s largest streaming service — now boasting over 280 million subscribers worldwide — analysts warn the deal may draw significant regulatory scrutiny.

Kathleen Brooks, research director at XTB, noted that Netflix has never attempted a merger of this magnitude.
“Netflix aims to dominate Hollywood,” she said.
However, she cautioned that the size of the deal could spark fears of a near-monopoly in TV and film production.

Regulators in the United States, and potentially international jurisdictions, will review the acquisition for possible antitrust violations. The scale of the transaction, combined with Netflix’s already massive global influence, ensures the deal will face intense political and legal examination.

Netflix emerged as the winning bidder after a highly competitive second-round auction during the U.S. Thanksgiving holiday. According to Bloomberg, Netflix went head-to-head with Paramount’s Skydance division and Comcast, the parent company of NBCUniversal.

Warner Bros. Discovery had also been targeted by Paramount prior to its purchase by the billionaire Ellison family, who have become increasingly active in Hollywood investments.

To finance the acquisition, sources say Netflix has been arranging a massive multi-billion-dollar bridge loan — one of the largest financing efforts in the company’s history.

While many industry insiders expected consolidation for months, not everyone is celebrating the news. Some Hollywood filmmakers and executives have expressed concern that the acquisition may reduce theatrical releases and further shift major film content exclusively to streaming.

Filmmaker James Cameron warned earlier this week, before the deal was made public, that a Warner Bros. acquisition by Netflix would be “a disaster,” highlighting fears that the streamer may sideline cinema in favor of digital premieres.

Others worry that a Netflix-controlled Warner Bros. could upend longstanding industry practices, restructure traditional studios, and centralize too much power within a single company.

Whether hailed as visionary or criticized as overreaching, Netflix’s acquisition of Warner Bros. Discovery represents a defining moment for the entertainment world. The merger consolidates vast creative resources, iconic franchises, and two of the most influential storytelling platforms under one corporate umbrella.

If approved, it will reshape Hollywood, alter the landscape of streaming, and redefine how audiences around the world experience movies and television — marking the beginning of a new chapter in global entertainment.

Source- EWN