Netflix is planning to buy Warner Bros. Discovery and other assets it owns for $82.7 billion and an equity value of $72.0 billion. What Netflix has bought so far is Warner Bros film and TV, HBO Max, HBO, and Iconic franchises such as DC, Looney Tunes, The Matrix, and more.
The things that are not included are their cable networks from Warner Bros Discovery, like CNN, TNT, and many more. They are going to finalize the deal in 2026. This is mainly happening with Netflix and Warner Bros. But the big thing people are wondering about is how this would affect Hollywood and streaming.
In fact, the president got involved and said that “this could be a problem.” One of the reasons is that “since Netflix has a considerable share, it would go up if the deal is accepted.” He is basically saying that Netflix will get too big a service, that it would be impossible for other companies to pass that, like Paramount.
Another place to get involved is Hollywood. They are upset because the deal could impact the jobs of some of the people who work at those companies. The Writers Guild of America is saying that “the people in the east and west coast branches represent 20,000 writers, many of them being screenwriters and television writers.” Another thing that they said is, “The world’s largest streaming company swallowing one of its biggest competitors is what antitrust laws were designed to prevent.” Saying that they can make the health conditions worse, fire people from their jobs, raise prices for the people who are buying this, and so much more.
The other company getting involved is Paramount because it is accepting Netflix as an owner. Right now, Paramount is launching a hostile takeover bid to acquire Warner Bros. Then, they want Warner Bros shareholders to send them letters about the deal being risky and bad for Hollywood. They have an offer that would be all cash with $54 billion in funding from banks, which the amount will total more than $104 billion. These are just some of the problems going on right now, and hopefully things will change soon enough, but only time will tell.
https://www.bbc.com/news/articles/cn815egjqjpo
https://www.nbcnews.com/business/media/paramount-hostile-bid-warner-bros-discovery-rcna247993
