Netflix is poised to acquire Warner Bros. in a multi-billion-dollar transaction, a move that would consolidate two major entertainment industry players and potentially reshape the media landscape.

The streaming behemoth confirmed on Friday its agreement to purchase Warner Bros., encompassing its film and television studios, HBO, and HBO Max, for an approximate value of $82.7 billion.

This acquisition is expected to significantly augment Netflix’s already vast content catalog and bolster its influence in the entertainment sphere. With subscribers across over 190 countries, the company currently holds the title of the world’s largest paid streaming service. The proposed deal would grant Netflix control over a primary streaming competitor, HBO Max, alongside Warner Bros.’ celebrated Hollywood film studio and iconic franchises such as Game of Thrones and Harry Potter.

Netflix indicated that the transaction is anticipated to finalize following Warner Bros.’ divestiture of its cable operations from its streaming and studio divisions, probably by the third quarter of 2026. Federal regulatory approval is also a prerequisite for the acquisition, which Netflix co-CEO Ted Sarandos stated the company is “highly confident” will be granted.

In the accompanying press release, Sarandos articulated, “Our mission has always been to entertain the world. By integrating Warner Bros.’ remarkable collection of shows and movies—ranging from enduring classics such as Casablanca and Citizen Kane to contemporary favorites like Harry Potter and Friends—with our own culture-defining works like Stranger Things, KPop Demon Hunters, and Squid Game, we will enhance our ability to achieve this. Collectively, we can offer audiences more of what they cherish and contribute to shaping the future of storytelling for the next century.”

However, the deal has drawn criticism from certain industry leaders and legislators concerned that it could grant the streaming service excessive power within the entertainment sector. Democratic Senator Elizabeth Warren of Massachusetts described the prospective transaction as “an anti-monopoly nightmare,” while others insisted it “must be blocked.”

Key details regarding this agreement are outlined below.

Scope of the Acquisition

The agreement specifies that Netflix would take ownership of Warner Bros.’ studio and streaming operations, encompassing HBO Max and HBO.

Netflix confirmed that current programming and films accessible on Warner Bros.’ streaming platforms—including The Big Bang Theory, The Sopranos, Game of Thrones, The Wizard of Oz, and the DC Universe—would be integrated into its content portfolio post-acquisition.

Furthermore, Netflix stated its intention to uphold Warner Bros.’ existing dedication to theatrical releases for its cinematic productions. Historically, while Warner Bros. has maintained a presence in cinemas, Netflix has primarily concentrated on developing its at-home streaming offerings.

Opposition to the Deal: Sources and Reasons

Observers have voiced apprehension that this transaction could establish a monopolistic position for Netflix within the streaming market.

“A combination of Netflix and Warner Bros. would establish a singular, enormous media entity controlling nearly half of the streaming market,” Warren asserted in an X post on Friday. “This could lead to increased prices, reduced viewing options, and potentially jeopardize American jobs.” She called upon the Justice Department to “enforce our nation’s anti-monopoly laws equitably and with full transparency.”

Echoing Warren, Democratic Representative Pramila Jayapal of Washington similarly labeled the deal a “nightmare.”

“This would translate to additional price increases, more advertisements, homogenized content, diminished creative autonomy for artists, and reduced compensation for workers,” Jayapal stated on X. “The media industry is already dominated by a handful of corporations wielding excessive power to suppress free speech. The government must intervene.”

A number of Republican legislators have conveyed analogous concerns.

“Should this prospective transaction come to fruition, it would pose significant competition questions—potentially more so than any deal observed in approximately a decade,” cautioned Senator Mike Lee of Utah in an X post on Wednesday, before Netflix emerged victorious in the bidding for Warner Bros. He further remarked, “Netflix has developed an excellent service, but extending its market dominance through this method would signal the conclusion of the Golden Age of streaming for both content creators and consumers.”

Thursday evening, prior to the deal’s confirmation but following Netflix’s successful bid, the Directors Guild of America (DGA), representing film and television directors, indicated its intention to engage in discussions with Netflix regarding its “concerns.”

The guild informed that it believes “a thriving, competitive industry—one that cultivates creativity and promotes genuine competition for talent—is vital to protecting the careers and creative rights of directors and their teams.” The statement continued, “We plan to meet with Netflix to articulate our concerns and gain a clearer understanding of their corporate vision. As we conduct this due diligence, we will refrain from further comment.”

On Friday, the Writers Guild of America (WGA), which advocates for writers in the entertainment and media sectors, issued a more forceful joint statement from its East and West Coast divisions, opposing the deal.

The statement contended, “The acquisition of one of its largest competitors by the world’s leading streaming company is precisely what antitrust legislation aims to preclude.” It further argued, “The repercussions would include job losses, suppressed wages, deteriorated conditions for all entertainment employees, increased consumer prices, and a decrease in the quantity and variety of content available to viewers. Both industry workers and the general public are already affected by the concentrated control a few powerful corporations exert over content consumption across television, streaming, and cinemas. This merger absolutely must be stopped.”