Tag: Media Merger

Business

Netflix Issues Urgent Reassurance After $82.7B Warner Bros. Acquisition Sparks Political and Industry Backlash

Tanisha Cardozo

Written by Tanisha Cardozo || Team Allycaral Business Desk

Netflix moved swiftly to reassure its more than 300 million subscribers after announcing its stunning $82.7 billion acquisition of Warner Bros., one of the biggest entertainment mergers in modern history. Roughly 24 hours after unveiling the deal, Netflix sent a carefully worded late-night email emphasizing that nothing is changing today and that both platforms will continue to operate separately for the foreseeable future. The company reiterated that the transaction still requires multiple regulatory and shareholder approvals, a process Netflix estimates will take between 12 and 18 months.

The message, echoed in the FAQ section of Netflix’s Help Center, assured users that their membership plans would remain unchanged during this transition and that Warner Bros. content—including major franchises like Harry Potter, Friends, Game of Thrones, and the DC Universe—would not immediately appear on Netflix’s platform. The company stressed patience and promised timely updates as the process advances.

Despite the calm tone of Netflix’s communication, the acquisition has already ignited intense political and industry backlash. Senator Elizabeth Warren condemned the announcement as an “anti-monopoly nightmare,” while Representative Pramila Jayapal warned that the merger could lead to higher prices, more ads, and homogenized content. Republican Senator Mike Lee raised his own alarm, stating the deal should concern antitrust enforcers worldwide. Hollywood guilds, including the Producers Guild of America, SAG-AFTRA, and the Writers Guild, expressed fears of job losses, reduced competition, and diminished creative control within an industry already under strain.

During an investor call, Netflix co-CEO Ted Sarandos defended the acquisition vigorously, portraying it as “pro-consumer, pro-innovation, pro-worker, pro-creator and pro-growth.” Sarandos insisted that combining Netflix’s streaming leadership with Warner Bros.’ vast library and iconic franchises would create a stronger and more dynamic entertainment powerhouse. However, he acknowledged that meaningful integration could not begin until regulators approve the deal, and the earliest possible closing date would be December 2026.

If ultimately approved, the merger would unite some of the most recognizable franchises in entertainment history under one roof—from Stranger Things and Bridgerton to Harry Potter and Game of Thrones—shaping a new era of streaming consolidation. For now, subscribers are being told to sit tight, enjoy the content they already love, and await further updates as Netflix and Warner Bros. embark on one of the most scrutinized entertainment mergers in decades.

Business

Warner Bros Discovery Shares Surge Amid Paramount Skydance Buyout Rumors

Closed Account

Written by Intern Queeny George M.H , Team Allycaral

Shares in Warner Bros Discovery surged by 29% on Thursday, and Paramount Skydance jumped 16%, following reports that Paramount Skydance is preparing a full takeover offer for the rival studio. The potential deal, which could dramatically reshape the U.S. media landscape, would include Warner Bros Discovery’s key assets — news network CNN, premium cable channel HBO, and the film studio behind global franchises such as Barbie and Harry Potter.

The Wall Street Journal reported that although a formal bid has not yet been submitted, discussions are underway and could fall apart. The move would be one of the largest consolidation plays in the media industry’s recent history, which has already been reshaped by the streaming revolution and a flurry of mergers and acquisitions. The industry is also facing increased political scrutiny, particularly from President Donald Trump’s administration.

Warner Bros Discovery declined to comment on the potential bid, and Paramount Skydance did not respond to requests for comment.

David Ellison, head of Skydance and son of tech billionaire Larry Ellison, is at the center of the reported deal. A Hollywood producer with credits including Top Gun: Maverick and World War Z, Ellison is also said to be closing in on a deal to buy The Free Press, a digital outlet co-founded by journalist Bari Weiss.

His father, Larry Ellison, a known Trump ally, briefly overtook Elon Musk this week to become the world’s richest person with a net worth of over $380 billion, according to the Bloomberg Billionaires Index. Earlier this year, Trump had publicly floated Ellison as a possible buyer of TikTok.

The deal adds a complex political layer, as Paramount has recently faced backlash over a $16 million settlement related to a legal battle with Trump over an interview with Kamala Harris. The settlement included no admission of wrongdoing but has drawn criticism from Democrats, who have labeled it a “bribe” and requested documentation from the company.

Paramount earlier this year announced it would be splitting its business to separate its streaming services from traditional cable offerings, potentially laying the groundwork for a major structural shift — and a possible acquisition. If the reported bid materializes, it would catapult Ellison’s role in Hollywood and U.S. politics to the next level, signaling a bold new era in the ongoing battle for media dominance.