Netflix and Warner Bros. Discovery have reached a deal that will change the entertainment industry as we know it.

On Friday, Dec. 5, Netflix announced its purchase of Warner Bros., including its film and TV studios, HBO Max, and HBO. According to the companies, the total enterprise value of the deal is $82.7 billion, with an equity value of $72 billion.

The announcement comes after a weeks-long bidding war in which Paramount Skydance and Comcast also vied to obtain the entertainment conglomerate. Netflix won the day, to the surprise of many.

“I know some of you are surprised we are making this acquisition,” Netflix co-CEO Ted Sarandos said during a Friday call with analysts, per Variety .

In a statement, Sarandos said that Netflix’s mission “has always been to entertain the world.” H

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