Netflix has taken a bold step to reshape Hollywood. The streaming giant agreed to acquire Warner Bros. Discovery, including its film and television studios and HBO Max, in a deal valued at $82.7 billion including debt.
This merger unites Netflix’s global subscribers with some of the world’s most iconic content.
Netflix Makes Its Move
Under the agreement, Warner Bros. Discovery shareholders will receive $23.25 in cash plus 4.501 Netflix shares per share, which values the company at $27.75.
Both boards approved the deal unanimously.
However, before closing, Warner Bros. Discovery must spin off its Global Networks division, which includes CNN and TNT, into a separate public company—a process planned for the third quarter of 2026.
Deal Details And Rivalry
Netflix’s offer outshone rivals.
Paramount Skydance tried to acquire the entire company in cash, while Comcast focused on the studio and streaming assets.
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By offering a mix of cash, stock, and a $5 billion breakup fee, Netflix secured its position as the frontrunner.
Content Power And Industry Impact
The acquisition gives Netflix control over Warner Bros.’ legendary franchises, such as Harry Potter, DC Comics, and Game of Thrones, along with HBO Max’s 100 million subscribers.
Already serving over 300 million users, Netflix now gains access to an extensive library of films and series.
Ted Sarandos called the acquisition a “rare opportunity” to expand content and create jobs.
Meanwhile, Warner Bros. Discovery CEO David Zaslav said the merger guarantees audiences worldwide will enjoy these stories for generations.
This deal marks Netflix’s largest acquisition and signals its shift from streaming growth to traditional Hollywood assets.
Nevertheless, labour groups and cinemas have raised concerns, but Netflix anticipates a new era of storytelling.
