Netflix has revealed that it and Warner Bros. have come to an agreement to acquire the entertainment studio in a blockbuster deal just shy of $83 billion.
Netflix, Warner Bros. Agree to $83 billion Acquisition Deal
Netflix shared a new press release announcing that they have successfully come to an agreement to purchase the entirety of Warner Bros. for a total of $82.7 billion in this blockbuster acquisition deal.
The streaming giant is buying Warner Bros. in a cash and stock transaction valued at $27.75 per share, with Netflix claiming that the transaction would complete after the official separation of Warner Bros. and Discovery by Q3 2026.
According to Netflix, they plan to combine the power of Warner Bros.'s content offering into its extensive global portfolio.
Netflix co-CEO Ted Sarandos said, "By combining Warner Bros.' incredible library of shows and movies—from timeless classics like 'Casablanca' and 'Citizen Kane' to modern favorites like 'Harry Potter' and 'Friends'—with our culture-defining titles like 'Stranger Things,' 'KPop Demon Hunters' and 'Squid Game,' we'll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling."
Netflix Set to Acquire Warner Bros., Including HBO Max and More
Netflix is set to acquire the entirety of Warner Bros. after its split with Discovery, with the streaming giant getting Warner Bros. Pictures, its production studio; Warner Bros. Games, its game development studio that owns DC, "Mortal Kombat," and more; HBO, and HBO Max.
According to Netflix, it plans to keep its streaming platforms separate, unlike the previous merger with Discovery that gave birth to Max. Alongside this, Netflix claims that it would uphold WB's theatrical releases, but according to Sarandos (via Variety), its exclusivity would be shorter, meaning that these movies would be coming to streaming at a faster rate.
Engadget reported that there could be many hitches to this acquisition deal, particularly as it may be blocked by regulators and face challenges along the way. The Trump administration already views this deal with "heavy skepticism," while Senator Elizabeth Warren calls this an "anti-monopoly nightmare."
Netflix owning Warner Bros. could create a blackhole-like vacuum in the media and streaming entertainment, with JustWatch claiming that its combination would account for 33% of the US video streaming market. While Amazon's Prime Video owns the largest chunk of it at 21% versus Netflix's 20%, HBO Max stands at 13%.
Originally published on Tech Times
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