Netflix will gain control of Warner Bros.’ and HBO's major franchises and libraries and classic WB film and TV catalogs, dramatically expanding what it can offer worldwide. 

By Joe Lombardi From Daily Voice

Netflix has struck a deal to acquire Warner Bros.’ legendary film and TV studios along with HBO and HBO Max in a transaction valued at about $82.7 billion. 

The agreement, announced Frida morning, Dec. 5 by Netflix, still needs regulatory and shareholder approval before it can close, but if completed, it would mark the most dramatic transformation of Hollywood and the streaming landscape since Netflix’s own rise to dominance.

Netflix will gain control of Warner Bros.’ major franchises and libraries and classic WB film and TV catalogs, dramatically expanding what it can offer worldwide. 

“Our mission has always been to entertain the world,” said Ted Sarandos, co-CEO of Netflix, in a statement. “By combining Warner Bros.’ incredible library of shows and movies — from timeless classics like 'Casablanca' and 'Citizen Kane' to modern favorites like 'Harry Potter' and 'Friends' —with our culture-defining titles like 'Stranger Things,' 'KPop,' 'Demon Hunters' and 'Squid Game,' we'll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling.” 

Under the terms, Netflix will take over Warner Bros.’ studio assets and HBO/HBO Max after Warner Bros. spins off its Discovery-branded cable networks into a new company called Discovery Global. Warner Bros. shareholders will receive a mix of cash and Netflix stock, with the deal valued at $82.7 billion in enterprise value and about $72 billion in equity.

The deal follows a heated bidding war that saw Paramount/Skydance and Comcast also vying for Warner Bros., but Netflix’s higher offer won out. For now, Netflix says HBO Max will remain a separate brand and service, but both companies are already planning discounted bundles that would price a combined Netflix/HBO Max package below subscribing to each separately.

“Today’s announcement combines two of the greatest storytelling companies in the world to bring to even more people the entertainment they love to watch the most,” said David Zaslav, President and CEO of Warner Bros. Discovery. “For more than a century, Warner Bros. has thrilled audiences, captured the world’s attention, and shaped our culture. By coming together with Netflix, we will ensure people everywhere will continue to enjoy the world’s most resonant stories for generations to come.”

Most HBO Max subscribers already have Netflix, so the near-term focus is on reducing subscriber churn and tightening the ecosystem. Over time, expect deeper integration—shared recommendation technology, cross-promotion of originals, and possibly a longer-term merger of the apps once regulators sign off.

To address concerns from regulators and filmmakers, Netflix has pledged to honor Warner Bros.’ theatrical release windows, a notable shift from its streaming-first model. This means more big-budget WB movies will hit theaters first, then land on HBO Max and/or Netflix under staggered release windows.

For consumers, analysts expect the merger to lower average streaming costs by offering cheaper bundles and reducing the need to juggle multiple services. In the short term, look for new bundle offers, a fuller library on both platforms as rights deals are reworked, and potential price pressure on competitors like Disney+, Peacock, and Paramount+.

The deal faces intense antitrust scrutiny in the US and abroad, as it would combine the world’s largest streamer with one of Hollywood’s top studios and prestige TV brands. Paramount has already complained the sale process was “tilted and unfair,” signaling rivals may lobby regulators to challenge or burden the merger. If approved, the industry could move toward a “few giants” model: Netflix–Warner on one side, Disney’s bundle on another, and a merged or partnered group of the remaining players scrambling to keep up.

Check back to Daily Voice for updates.