Theater Owners Are Worried About Netflix Buying Warner Bros.
Netflix announced that it will purchase Warner Bros. Discovery in an $82.7 billion deal that includes Warner Bros. film studios, HBO and the HBO Max streaming service. Netflix defeated bids from Paramount Skydance and Comcast to land the deal.
Netflix said it plans to keep HBO and HBO Max as separate entities while adding some HBO content to its own platform. WBD’s linear networks including CNN, TNT, HGTV and Discovery+ will spin off into a new public company in third quarter 2026.
But this is why movie theaters and filmmakers are worried about it. Netflix co-CEO Ted Sarandos said Friday that the company will continue to release WB movies in theaters, but the windows will likely get shorter. Theater owners say such a change could finally mark the end of their already-struggling business. For subscribers, analysts say “if you have more of what people want, you have leverage to raise prices.”
The deal must now face 12 to 18 months of regulatory approval before closing.