Netflix announced on Friday that it will acquire Warner Bros, including its film and television studios and streaming assets (HBO and HBO Max), in a sweeping cash-and-stock transaction valued at approximately $82.7 billion (with an equity value of $72.0 billion).
Under the deal poised to reshape Hollywood and the global streaming business, each WBD shareholder will receive $23.25 in cash and $4.50 in Netflix stock per share, amounting to $27.75 per share.
The agreement also involves Netflix assuming more than $10 billion of WBD’s debt.
The acquisition is set to close after WBD completes the planned spin-off of its cable and global networks division, to become a separate public company named Discovery Global, expected in the third quarter of 2026.
What the Deal Means: A Content Empire Under One Roof
By taking over Warner Bros., Netflix gains control of one of Hollywood’s most storied studios and an enormous library of film and television properties, from classic films to modern blockbuster franchises.
That means iconic franchises and beloved shows — from the worlds of DC Comics, magical hits like Harry Potter, cult-favorite series, and Warner’s TV archives — will now be housed under Netflix’s banner, alongside its own global hits such as Stranger Things, Squid Game, and Bridgerton.
Executives at Netflix argue the deal will significantly expand its production capacity, bolster its content output, and offer consumers more variety and value under one roof.
One Netflix co-CEO said the acquisition would allow the company to significantly increase U.S. production capacity and continue investing in original content.
Ownership Transfer
The deal will put the following assets under Netflix's control:
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The film and television studios of Warner Bros., including motion-picture production, film library, and television production infrastructure.
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The premium network and streaming services HBO and HBO Max, along with their content libraries.
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The libraries of films and television shows owned by Warner, including long-running and classic franchises.
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Intellectual-property (IP) franchises and brands under Warner Bros., such as those from DC Studios / DC Entertainment (i.e., DC Comics–based IP), as well as other legacy properties.
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The video-game division (Warner Bros. Games) — meaning game studios, game-franchise rights, and publishing/licensing business associated with Warner's gaming arm.
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Distribution, licensing, publishing, and consumer-products divisions associated with Warner Bros.’ content — giving Netflix control over global distribution and licensing rights for the acquired content.
The Path to Netflix’s Victory: Bidding War and Strategy Shift
The acquisition comes after a heated bidding war involving rivals such as Paramount Skydance, and Comcast, both of which had vied for control of Warner Bros. Discovery.
Observers had widely expected Paramount to emerge as the winner before Netflix’s substantially richer, cash-heavy offer secured the deal.
For Netflix — which began in the 1990s mailing DVDs in red envelopes — this marks a strategic pivot: acquiring legacy content and studio infrastructure rather than primarily licensing or building originals.
Industry analysts say the acquisition adds “serious firepower” to Netflix’s content ambitions.
Controversy, Concerns, and What Lies Ahead
Not everyone is celebrating. The deal has triggered antitrust and industry-wide concerns, with critics warning that combining two of the biggest players in streaming and film could threaten competition, reduce content diversity, and undermine theatrical releases.
A cinema trade group warned the acquisition could pose “an unprecedented threat to the global exhibition business,” noting Netflix’s historically minimal theatrical windows.
Still, Netflix has pledged to maintain Warner Bros.’ existing operations, including theatrical releases, and says the deal will create new opportunities for creators and investors while delivering cost savings and more value for subscribers.
What This Could Mean for Viewers Worldwide
If the deal closes successfully (after the spin-off and regulatory approval), viewers can expect a massive reshuffling of where and how they watch films and shows.
Netflix’s global reach means Warner’s extensive catalogue could become more accessible than ever.
For some, the acquisition creates the ultimate all-in-one streaming destination, classic cinema, major franchises, prestige TV, and Netflix originals under a single subscription.
For others, it raises fears of increased consolidation and fewer independent studios.
