Netflix is now set to acquire Warner Bros.’ studio and streaming business after outbidding opponents in a high-stakes competition for the media giant.
Sources tell TheWrap that Netflix now enters exclusive talks with Warner Bros. Discovery, with a potential deal including a $5 billion breakup fee should regulatory authorities block the transaction.
The streaming giant has reportedly offered $30 per share, valuing the studio and streaming division at roughly $70-75 billion, well above Warner Bros. Discovery’s current market value of around $60 billion.
The assets include HBO Max and iconic franchises such as Harry Potter and DC Comics. Netflix’s offer outstripped competing bids from Paramount and Comcast, while early interest had also come from Amazon and Apple.
Paramount has formally lodged a complaint, accusing Warner Bros. Discovery of favouring Netflix and neglecting shareholder interests.
This acquisition follows Warner Bros. Discovery’s June 2025 announcement to split the company into two public entities: one for studios and streaming, the other for cable and global networks. Netflix’s bid targets only the studio and streaming side, leaving the cable division untouched.
Regulatory approval will be necessary. The U.S. Department of Justice has already indicated concerns over potential consolidation in streaming and film production. Former officials warn the deal could trigger a multi-year antitrust review, while political attention adds another layer of complexity.
If the acquisition goes ahead, Netflix would gain HBO Max, Warner Bros. studio, and some of Hollywood’s most valuable intellectual properties. It would also mark the company’s first major move into theatrical film distribution, a segment it has traditionally avoided.
Analysts say this could dramatically affect the entertainment industry, forcing competitors such as Disney, Apple, and Amazon to recalibrate their strategies in response.
