Netflix has emerged as the winning bidder for Warner Bros., including the HBO Max streaming business, outmatching offers from Comcast (owner of Universal) and Paramount.
That victory moves Netflix into exclusive talks with Warner Bros. Discovery, but it does not guarantee a completed transaction. Should negotiations succeed and regulators sign off — both significant hurdles — Netflix would acquire an enormous catalog of intellectual property, from the DC slate and film and TV rights tied to Harry Potter to HBO and the broader Warner Bros. studio and distribution operations.
Multiple outlets — including The Wrap, Variety, Deadline, and The Hollywood Reporter — report Netflix’s offer stands at $30 per share and includes a $5 billion reverse termination fee if the sale collapses. Paramount also pursued Warner Bros. and HBO, while Comcast submitted its own bid; Paramount had been widely viewed as the presumptive front-runner, making Netflix’s win unexpected given its historic reluctance toward large-scale studio acquisitions.
Paramount publicly criticized the bidding process as it watched the opportunity slip away, accusing certain Warner Bros. Discovery executives of prioritizing personal interests and alleging the process had been compromised. The studio said the sale had lost the trappings of a fair transaction and claimed WBD’s handling favored a single bidder.
If the deal advances, it faces an arduous regulatory gauntlet. Lawmakers, industry groups, and guilds have already voiced concern: the Directors Guild of America flagged the transaction as troubling, and anonymous leading filmmakers reportedly sent a letter to Congress warning the acquisition could imperil theatrical distribution and threaten livelihoods across the industry.
Paramount’s earlier advantage stemmed in part from favorable regulatory momentum: the Ellison family’s recent acquisition of Paramount and its merger with Skydance was approved this year, fostering expectations that another studio consolidation might clear Washington more easily. Netflix lacks a comparable political tailwind.
Warner Bros.’ performance this year has been mixed. The company shuttered three game development studios — one of which had been working on a Wonder Woman title — while its theatrical slate produced notable hits, with titles such as Sinners and Minecraft performing strongly at the box office. Despite some successes, CEO David Zaslav opened the company to offers in October to catalyze a competitive bidding process; non-binding first-round bids were reported to have arrived on Nov. 20, kicking off the auction.
Whoever ultimately secures Warner Bros. will inherit not just a massive content library but also the challenge of stabilizing and integrating a storied entertainment conglomerate. For now, an uncertain but consequential transition period begins.
Source: Polygon
