Netflix to Buy Warner Bros. Discovery in Major Streaming Deal

[MacRumors]

Netflix today announced that it will acquire Warner Bros. Discovery's vast studios and streaming operations for $82.7 billion.

The transaction will see Netflix acquire Warner Bros., HBO, and HBO Max in a cash-and-stock deal valued at $72 billion in equity and $82.7 billion, including debt (via Reuters). The acquisition gives it control of major franchises, including DC, Game of Thrones, Harry Potter, Looney Tunes, and the Warner Bros. film library, dramatically expanding the volume and diversity of content available under one streaming umbrella. The acquisition also gives Netflix the established HBO brand and its library of prestige television series such as The Sopranos, Succession, and The Wire.

Netflix said that it intends to maintain Warner Bros.' theatrical distribution, preserve HBO Max as a discrete service in the near term, and integrate HBO and Warner Bros. content into its own catalog.

https://twitter.com/x/status/1996912825508462707

Netflix confirmed that each Warner Bros. Discovery shareholder will receive $23.25 in cash and $4.50 in Netflix stock per share. The deal is contingent on Warner Bros. Discovery completing the previously announced separation of Discovery Global into a standalone company in the third quarter of 2026, as well as regulatory approval. The transaction is expected to take 12 to 18 months to complete.

Reports in October claimed that Apple was interested in acquiring Warner Bros. Discovery's extensive back catalog of content for Apple TV. With that prospect now firmly ruled out, Apple TV is highly likely to face heightened competition from Netflix in the years to come.



Article Link: Netflix to Buy Warner Bros. Discovery in Major Streaming Deal

 

[vertsix]

And they will hike prices again surely to offset this purchase.

 

[H3LL5P4WN]

Sweet, WWE and AEW on the same app/subscription.

 

[kotaKat]

And they will hike prices again surely to offset this purchase.

Not just Netflix price hikes. Can't wait for all the service providers out there that forcibly cram and bundle Netflix to have to hike their own rates "because" Netflix did it.

 

[mnsportsgeek]

Hate it. They're gonna be what Microsoft is to the gaming industry. And also probably stop printing physical media. Hate it all around.

 

[wlossw]

stop. stop. i can only switch to plex once...

 

[N0ughtsAndCr0sses]

All I see is price increases 🤣🤌🏻

 

[Asthmatic Kitty]

Literally a day after I caved and bought The Wire on Apple TV/iTunes 🤣 (Though this deal will take 12–18 months to finalise, so no harm really. Just amused me.)

Not sure whether this is good for consumers or not tbh. In the UK Now TV have all the HBO catalogue, which is their main value proposition, so they're in trouble. Guess we'll see how much Netflix hike the price up once they add HBO, but their library is going to be pretty great once all this is in.

 

[anakin44011]

Thankfully I'm not a betting man, otherwise I would have lost this one. I thought Paramount was going to take it (with the Oracle money to back it up).

The shocking part to me is how much debt these companies throw around. I guess when you are that big, the money no longer feels real, and you just keep piling on. And this is nothing compared to the debt around data centers.

Next, we'll here about thousands of people being laid off and then the natural question that rarely anyone asks is "What were those people doing and who is going to do that work now that they are gone?"

Ah...capitalism...so deeply flawed, and yet no other viable alternative exists...

 

[sdo007]

I mean I hate the mergers. But I suppose I'd rather Netflix than Paramount. So ill take a smol win where I can. Would absolutely love to see Netflix give Westworld its final season.

 

[ginkobiloba]

Yes, that's exactly what we need : More monopolies.

 

[OliOliOliOli]

Hope not… Netflix will make **** inside the list where we will see 30 times the same movie with another cover! As forthe price, I don't care because for the moment, I got both of them free in my TV subscription. If I have to pay… goodbye, and I will use another service.

 

[Madhatter32]

Thankfully I'm not a betting man, otherwise I would have lost this one. I thought Paramount was going to take it (with the Oracle money to back it up).

The shocking part to me is how much debt these companies throw around. I guess when you are that big, the money no longer feels real, and you just keep piling on. And this is nothing compared to the debt around data centers.

Next, we'll here about thousands of people being laid off and then the natural question that rarely anyone asks is "What were those people doing and who is going to do that work now that they are gone?"

Ah...capitalism...so deeply flawed, and yet no other viable alternative exists...

Paramount did not have the financing or resources to buy at that price. Also, taking on high debt levels is not a defining characteristic of capitalism. It is a defining characteristic of human nature though. But I get your point about debt financing in the private sector, housing sector, and government sector is out of control.

 

[iamgalt]

For some reason, this news makes me want to stock up on physical media in the very near future, of the movies and shows I like. I got a feeling it's going to be way cheaper than streaming in the not too distant future. Even with paying for enough local storage to rip them into a digital library.

 

[Flamingdeathbolts]

My Netflix stock better go up on that news!

 

[dmr727]

This is gonna be fantastic for consumers.



/s

 

[Infuspeur]

Maybe this would have been a good buy for Apple, with its alleged cash reserves. Apple TV is just good enough but could use some well known IP’s. Would have been interesting to see whether they’d improve the DC universe. Given Apple’s tie ins with Podcasts and little more daring takes.

 

[MVMNT]

Sweet, WWE and AEW on the same app/subscription.

But how will they ever co-exist!?!?

Short answer. It probably won't happen like that. HBO Max is just for streaming AEW, the rest is on TBS/TNT which aren't part of this merger. I can see AEW going to Amazon instead now.

 

[jdawgnoonan]

If Netflix raises their price by less than the amount I pay monthly for HBO Max with no ads then I am okay with it. It is better than supporting the Ellison family.

 

[DEMinSoCAL]

My Netflix stock better go up on that news!

The Reuters article said Netflix fell 3%.

 

[CharlesShaw]

But we all just got used to calling it HBO again.

 

[furbzv1]

So next price increase is going to be around $35?

 

[macvicta]

The Sopranos will experience one of the biggest cultural resurgences of all times when it hits Netflix.

 

[Mitthrawnuruodo]

Hmmm... HBO became noticeable worse (both quality and value for money) when they merged with Discovery... not to mention the naming kerfuffle... so this is probably a good sign... unless they drag Netflix down to WBs level of incompetence...

And as long as the price increase for the combined service is less than (or at the most equal to) the sum of what I'm paying for Netflix and HBO now, then I'm not too concerned about this...

 

[tomtad]

Apple then eats Netflix