The film and television industry is in the midst of a blockbuster showdown, with Netflix and Paramount battling for ownership of Warner Bros. Discovery — a storied Hollywood institution behind classics like Casablanca and franchises like Batman and Superman — as well as HBO, the company’s crown jewel in prestige television.
What Are Netflix and Paramount Offering for Warner Bros.?
Netflix's $83 billion offer is focused on acquiring Warner Bros.’ studios and HBO streaming service, with promises to find $2 to $3 billion in annual efficiencies without consolidating studios. Paramount, meanwhile, has put in an all-cash bid worth $108 billion for the entire company, including CNN and other cable channels. Its bid projects up to $6 billion in cost synergies.
Netflix, the world’s top streaming platform, announced on December 5 that it would acquire Warner Bros. Discovery, focusing on the company’s streaming and studio divisions. The deal is valued at $83 billion, with shareholders set to receive $23.25 in cash and $4.50 in shares of Netflix common stock for each share of WBD common stock. A few days later, Paramount, a major Hollywood studio in its own right, launched a hostile takeover bid, urging shareholders to overrule the wishes of WBD’s board of directors. Valued at $108 billion, Paramount’s all-cash offer of $30 per share aims to acquire the entire company — including its network television division, which is slated to be spun off by mid-2026.
For its part, WBD’s board of directors has maintained its commitment to the Netflix deal. But Paramount, which has made several attempts to buy Warner Bros. in the past, is betting that shareholders may be persuaded by its larger, all-cash offer. The company also argues that it’s at less risk of being rejected on antitrust grounds than Netflix.
Still, this corporate tug-of-war has the potential to spark an all-out bidding war, and has even attracted the direct attention of President Donald Trump, who pledged to “be involved” in the regulatory fate of the transaction. Here’s what we know so far about the deal, and how it could affect television and film lovers going forward.
Could These Deals Pass Antitrust Regulations?
Television and film has been transformed by the internet and market consolidation over the years, raising ongoing questions about competition and control. Now, with Netflix and Paramount both vying for ownership of Warner’s broad catalog of IP and services, the industry is facing what may be the most consequential media acquisition of the past decade — one that could reshape streaming, studios and the broader Hollywood landscape forever.
Netflix has 300 million subscribers, whereas Paramount+ only has 79 million. Therefore, if Netflix absorbs Warner Bros. (and by extension HBO), the streaming giant would gain immense market power. This could allow it to continue raising its subscription fees or low-ball filmmakers and showrunners.
Hollywood trade groups, including SAG-AFTRA and the Writers Guild of America, have opposed Netflix’s acquisition bid, saying any further consolidation would eliminate jobs, drive down wages and reduce the volume and diversity of content available to viewers. Politicians on both sides of the aisle have raised similar concerns. And shortly after the proposed acquisition was announced, an HBO Max subscriber filed a proposed class action lawsuit against Netflix, arguing that the deal would reduce competition in the streaming market.
While Paramount poses less of a threat from a streaming standpoint, its bid presents a different antitrust calculus. After all, a merger with Warner Bros. would combine two of the United States’ five major film studios. Such a consolidation could also reduce competition in the industry, potentially affecting how projects are financed and distributed. If WBD accepts the deal, it may come under regulatory scrutiny for its impact on the entire entertainment ecosystem, not just streaming.
Could This Change How Movies Are Released in Theaters?
Theater owners and other Hollywood trade groups have opposed Netflix’s acquisition bid, fearing that the streaming startup-turned-industry-heavyweight would either skip theatrical releases of Warner Bros. movies entirely or shorten the window between movies’ theatrical run and arrival on Netflix. They worry that if audiences know a movie will be available for streaming in just a couple weeks, they may skip going to the theater altogether.
Indeed, Netflix has released about 30 movies in select theaters this year, but it does not typically wait very long before streaming them. However, CEO Ted Sarandos has said the company will continue to release Warner Bros. movies in theaters, and that those movies will be available in theaters for exactly as long as they are today. Speaking at a conference on the day Paramount announced its latest bid, Sarandos said, “We didn’t buy this company (Warner Bros. Discovery) to destroy that value.”
Meanwhile, Paramount has said it would put out 30 movies in theaters per year, and would honor the traditional waiting windows before releasing them on streaming platforms. The company, which is one of Warner Bros.’ top rivals, also identified $6 billion in potential “synergy” opportunities from consolidating studios. Netflix has said it said it could find $2 to $3 billion in opportunities, but has pledged not to combine studios, as it lacks the same in-house production capabilities as Warner Bros.
Will HBO Max Get Combined With Netflix or Paramount+?
HBO’s streaming service has undergone several confusing rebrands since Warner’s merger with Discovery in 2022, which left acclaimed shows like Game of Thrones, The Sopranos and The Wire drowned out by a sea of reality TV content from Discovery properties.
Netflix told subscribers in a December 6 email that its content would remain separate from HBO and Warner Bros. content — at least until the transaction closes. Netflix might eventually offer Warner Bros. content on its streaming service, but it’s unclear whether it would keep the HBO app or what the pricing structure would be for the additional content.
Nearly half of HBO Max users also subscribe to Netflix, according to analytics firm Antenna. Sources familiar with the Netflix deal told Reuters that these dual subscribers could save money under a deal where the two streaming services are bundled, but the details have not been announced.
What Does Trump Have to Do With This?
Paramount’s acquisition bid is personal to President Trump. According to a regulatory filing, one of the investors behind the deal is Affinity Partners, a private equity firm led by Trump’s son-in-law, Jared Kushner.
Trump also has deep ties to Larry Ellison, the head of Oracle, which the president has tapped to manage TikTok’s U.S data and algorithm and partnered with on a deal to grow America’s AI infrastructure. Ellison’s son, David Ellison, has been the chairman and chief executive of Paramount since August 2024, when his company, Skydance Media, purchased Paramount for $8 billion. Since then, Paramount Skydance has made six unsuccessful offers to purchase Warner Bros., claiming that WBD’s board of directors “never engaged meaningfully” with any of its proposals.
Interestingly, when Skydance bought Paramount, it also acquired pro-Israel, “anti-woke” publication The Free Press and hired its founder, Bari Weiss, to lead CBS News. Since Paramount’s offer would include the acquisition of Warner’s cable division, which includes CNN, some worry the company might try to influence the editorial direction of CNN, an outlet Trump has repeatedly criticized as “fake news.”
Trump himself also appears to be actively involved in this saga. He reportedly talked with David Ellison at the Kennedy Centers Honors ceremony hours before Paramount’s hostile takeover was announced, and he told reporters that night that he would “be involved in the [Netflix] decision.” While he did not take a stance on Netflix’s proposal, he noted that the company has a “very big” market share, which he said “could be a problem” if they were to merge with Warner Bros.
Frequently Asked Questions
What will this mean for my streaming subscriptions?
If Netflix wins the bid, Warner Bros. films and HBO content could eventually appear on Netflix — potentially as part of a bundle or a higher-priced tier. Netflix has said it won’t change anything until the deal closes though, and it hasn’t confirmed whether the HBO Max app would remain separate. If Paramount wins, Warner Bros. content would likely fold into Paramount+, which could mean a new combined service or bundled pricing. In either scenario, viewers could see price changes, new bundles or shifts in where major franchises like DC, Harry Potter and Game of Thrones live.
Could the deal face antitrust challenges?
Yes. Netflix’s acquisition would make the largest global streaming platform even more dominant, raising concerns about higher prices for consumers, reduced competition for creators and fewer distribution options for studios. Meanwhile, Paramount’s offer also raises red flags because it would consolidate two of the five major U.S. film studios, shrinking competition in theatrical distribution.
What role is Trump playing in this deal?
Paramount’s offer is backed in part by Affinity Partners, a private equity firm run by Trump’s son-in-law Jared Kushner. Trump is also friendly with David Ellison’s father, Oracle CEO Larry Ellison, a longtime ally whose companies have intersected with recent tech policy. Trump has publicly commented on the takeover, saying he intends to “be involved” in the decision and noting Netflix’s “very big” market share as a potential problem.
