Netflix makes massive cash bid to buy Warner Bros. Discovery
What's the story
Streaming giant Netflix has reportedly made a mostly cash offer to acquire Warner Bros. Discovery, the Hollywood studio currently up for sale. The move comes as part of a second round of bidding that began on Monday after the Thanksgiving holiday, reported Bloomberg. Other contenders in this auction include Paramount and Comcast, NBCUniversal's parent company.
Sale details
Warner Bros. Discovery's sale process and potential impact
Warner Bros. Discovery, which owns HBO, CNN, and the Warner Bros. film studio, officially announced its sale in October after receiving several unsolicited offers. This decision also put on hold its plan to split into two separate entities: one focusing on streaming and studios, the other on traditional cable networks. The sale could significantly reshape the US media landscape. While Paramount wants entirety of the company, Netflix and Comcast only want Warner Bros. studios and HBO's streaming service, HBO Max.
Acquisition implications
Netflix's potential acquisition and concerns from Hollywood
Netflix, with over 280 million subscribers worldwide, is reportedly arranging a bridge loan worth tens of billions of dollars for its potential acquisition. This deal would enhance Netflix's content production capabilities and secure premium assets like HBO and Warner Bros. studios. However, top Hollywood players have expressed their concerns over this move, given Netflix limits the theatrical window of its releases. Titanic director James Cameron recently told The Town that a takeover of WB by Netflix would be "a disaster."
Theatrical strategy
Netflix's theatrical policy and potential changes
Netflix's approach to theatrical releases could also change if it acquires Warner Bros. Currently, Netflix movies are usually exclusive to its streaming platform, although some films like Rian Johnson's Knives Out sequels and Guillermo del Toro's Frankenstein have received limited theatrical releases. However, the streamer plans a multi-week wide release for Greta Gerwig's Chronicles of Narnia movie in 2026. It remains to be seen how this policy would evolve post-acquisition.