Netflix set to purchase Warner Bros. in a groundbreaking agreement worth $82.7 billion

Netflix Secures Landmark Acquisition of Warner Bros.

Netflix has made headlines by revealing its purchase of Warner Bros., a deal valued at an impressive $82.7 billion. This transaction stands out as one of the most significant in the history of the streaming industry.

The agreement encompasses both HBO Max and the HBO production studio, representing a major consolidation within Hollywood. Through this acquisition, Netflix not only reinforces its dominance in the streaming sector but also dramatically expands its entertainment portfolio, gaining rights to iconic series and franchises like DC Comics, “Game of Thrones,” and “Harry Potter.”

Subscriber Numbers and Financial Details

As of January, Netflix had surpassed 300 million paying users worldwide. In comparison, the combined subscriber base of HBO Max and Discovery+ is approximately 128 million.

The scale of Netflix’s investment is particularly noteworthy: the company is committing $72 billion to the purchase, a figure that exceeds Warner Bros.’ total market capitalization of $60 billion.

Regulatory and Industry Reactions

Despite the excitement, the merger faces potential regulatory hurdles. Concerns about antitrust issues have already been raised.

Last November, Senators Elizabeth Warren, Bernie Sanders, and Richard Blumenthal voiced apprehensions about the proposed sale. They addressed a letter to the Justice Department’s Antitrust Division, warning that any deal could be perceived as tainted by political favoritism and corruption.

Industry stakeholders are also weighing in. According to Variety, an anonymous coalition has urged Congress to publicly reject Netflix’s bid through a formal letter.

Background and Timeline

Warner Bros. Discovery decided to seek a buyer in October, prompted by mounting debt and slower-than-expected growth in its streaming business. Multiple companies expressed interest, with Paramount initially considered a leading candidate.

The acquisition is projected to close in the third quarter of 2026, following Warner Bros. Discovery’s planned separation from Discovery Global, which operates several pay television channels, including TNT and CNN.

Both companies anticipate that the deal, which involves a combination of cash and stock, will be finalized within 12 to 18 months.