Netflix to Acquire Warner Bros. Discovery’s Studios and Streaming Division in a Landmark $72 Billion Deal With Sources

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• December 05, 2025

• Newsroom

Netflix to Acquire Warner Bros. Discovery’s Studios and Streaming Division in a Landmark $72 Billion Deal With Sources

Netflix Inc. (NASDAQ: NFLX) announced a historic agreement to acquire Warner Bros. Discovery’s (WBD) studio operations and streaming division in a deal valued at $72 billion, marking one of the largest entertainment mergers in U.S. history. The acquisition positions Netflix as the world’s most comprehensive content powerhouse, combining its global streaming dominance with Warner’s century-old film and television legacy.

According to Reuters, the transaction includes Warner Bros. Pictures, HBO, Max, Discovery’s lifestyle networks, and WBD’s global content library, significantly strengthening Netflix’s intellectual property portfolio.

Strategic Impact on Global Entertainment

As reported by Bloomberg , the deal gives Netflix direct control over major franchises, including DC, Harry Potter (subject to existing agreements), The Lord of the Rings co-productions, and HBO’s award-winning catalog, creating unprecedented scale in both streaming and theatrical production.

The acquisition also includes Warner Bros. Television, one of the most prolific TV studios in the United States, further expanding Netflix’s production capacity.

Streaming Consolidation Accelerates

The agreement underscores a transformational shift in the streaming landscape. CNBC highlighted that industry pressure, rising production costs, and subscriber churn have accelerated consolidation among major U.S. media companies.

The merger is expected to significantly alter competitive dynamics with Disney+, Amazon Prime Video, and Apple TV+.

Financial and Market Reaction

Initial market reactions were notable. According to The Wall Street Journal, Netflix’s stock rose following early reports of the deal, driven by investor optimism regarding the company’s expanded content ecosystem and strengthened bargaining power in global distribution.

Analysts note that combining Netflix’s subscription scale with Warner Bros. Discovery’s studio infrastructure could generate substantial long-term revenue synergies.

Regulatory Path and Timeline

The deal will undergo regulatory review in the United States and internationally. Reuters Analysis reports that antitrust concerns will center on market concentration in both streaming and theatrical distribution.

Netflix stated that it expects the acquisition to close by late 2026, pending approvals.

A New Era for Netflix and Global Content

With this acquisition, Netflix aims to expand its universe of original productions, accelerate international growth, and integrate theatrical releases into its long-term strategy, positioning itself as the most diversified entertainment company in the world.