netflix to Acquire Warner Bros. Discovery‘s Studio & Streaming Buisness in $82.7 Billion Deal
LOS ANGELES – Netflix has reached an agreement to acquire warner Bros. Discovery’s (WBD) studio and streaming business for $82.7 billion, a move poised to reshape the entertainment landscape. The deal, announced today, is expected to close next year and will significantly bolster Netflix’s content library with iconic films and television shows, including access to the HBO Max catalog.
The transaction excludes WBD’s broadcast arm, which will be spun off as a separate company housing TNT Sports (in Europe), Eurosport, CNN, Bleacher Report, and other pay-TV and free-to-air channels, alongside the Discovery+ streaming service. However,WBD has indicated that TNT Sports in the UK and Latin America will be included in the assets acquired by Netflix,possibly placing major sports broadcasting operations under the streamer’s control,pending any future sale of TNT Sports UK.
“Our mission has always been to entertain the world,” said Ted Sarandos, Netflix co-chief executive. “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.”
David Zaslav, chief executive of WBD, echoed the sentiment, stating, “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. 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.”
WBD initially put itself up for sale in October following unsolicited interest from multiple parties. While Netflix ultimately secured the deal, Comcast and Paramount Global are understood to have also submitted offers, with Paramount’s bid reportedly encompassing the entire business and potentially creating a major consolidation of sports broadcasting assets.
The acquisition is expected to strengthen Netflix’s position in the competitive streaming market by providing a larger and more diverse content offering,as well as new production capabilities and a wider range of pricing options for consumers.
