25.12.05.Today News : Netflix to Acquire Warner Bros. Discovery for $82.7 Billion

Netflix to Acquire Warner Bros. Discovery for $82.7 Billion

📍A $27.75-per-share offer wins the bidding war as Netflix gains HBO, DC, and iconic franchises

Netflix has agreed to acquire Warner Bros. Discovery (WBD) in a cash-and-stock deal valued at approximately $82.7 billion, marking one of the most significant mergers in entertainment history. With this acquisition, Netflix is set to secure major franchises such as HBO, DC Comics, and Warner Bros. Studios, signaling a major shift in the global streaming landscape.

Netflix has agreed to acquire Warner Bros. Discovery in a cash and stock deal worth approximately $82.7 billion.

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🔹 A Turning Point in the Streaming War
Netflix won the bidding war by offering $27.75 per share, beating Paramount–Skydance’s proposal of around $24. The announcement halted WBD stock trading briefly as investors reacted to the historic deal.

Under the agreement, WBD shareholders will receive $23.25 in cash and $4.50 in Netflix Class A stock per share. The acquisition is expected to close within 12–18 months, following the spin-off of WBD’s global networks division into a new company, Discovery Global.

🔹 HBO, DC, and More Move Under Netflix
The takeover includes Hollywood’s most powerful IP assets—HBO, Warner Bros. Studios, DC Comics, and the Harry Potter franchise. Industry analysts describe this sale as “a once-in-a-generation event,” noting the rarity of such legacy studios coming to market.

🔹 Netflix’s Strategic Vision
Netflix Co-CEO Ted Sarandos stated: “Our mission has always been to entertain the world, and with Warner Bros.’ extraordinary library, we can do that even better.”

Netflix plans to maintain Warner Bros.’ current operations, including theatrical film releases, and expects to achieve $2–3 billion in annual cost synergies by the third year.

🔹 Antitrust Pressure Looms
As Netflix stands to become the owner of both the world’s largest streaming service and a 130-million-subscriber competitor (HBO Max), the deal is expected to draw intense antitrust scrutiny in the U.S. and Europe.

Senator Mike Lee publicly raised concerns on X, arguing that the acquisition could reduce market competition. Bank of America also warned that the streaming war could “effectively end” if the merger goes through.

🔹 Paramount’s Objections
Paramount, led by David Ellison, initiated the bidding with a private offer and later questioned the fairness of the sale process, according to reports. Despite objections, industry sentiment largely regards Netflix as the clear victor.

🔹 A New Power Structure in Hollywood
With both a major studio and a dominant streaming platform under its umbrella, Netflix is poised to reshape Hollywood’s balance of power—potentially rivaling Disney’s hybrid model in scale and influence.

One-line summary : Netflix’s $82.7 billion acquisition of Warner Bros. Discovery gives it control of major franchises like HBO and DC, reshaping the global streaming landscape.