Netflix to Acquire Warner Bros Discovery for $72 Billion Amidst Antitrust Concerns
Netflix has announced plans to buy Warner Bros Discovery's TV, film studios, and HBO Max division in a deal valued at $72 billion. The acquisition is expected to close late next year following a spin-off of Discovery's legacy channels.
The proposed merger has raised cross-party competition concerns and encountered opposition from Hollywood. President Donald Trump stated he would be involved in the regulatory clearance decision and highlighted that the combined market share could present problems.
The Writers Guild of America warned that the merger could violate antitrust principles, potentially reducing jobs, wages, working conditions, prices, and diversity of content. Senator Roger Marshall described the takeover as the largest media merger in history, pointing out red flags for consumers, creators, cinemas, and local businesses while expressing concerns about antitrust implications.
Other bidders for the acquisition included Paramount Skydance and Comcast. However, Reuters reported their bids were rejected due to funding concerns and fewer upfront benefits. Notably, Paramount is led by David Ellison, son of Larry Ellison, known as an ally of Trump.
