Entertainment
The Hollywood media landscape is facing one of its most dramatic shakeups as Netflix and Paramount Skydance wage an aggressive battle to acquire Warner Bros. Discovery (WBD), in a fight that could redefine the future of global entertainment. With competing bids, growing political attention, and more than $100 billion in enterprise value at stake, the outcome will shape the destiny of assets such as HBO, Warner Bros. Studios, DC Comics, and CNN.
What started as behind the scenes negotiations at first has now turned into a full-blown hostile takeover war, with Netflix securing a massive agreement and Paramount launching a direct challenge to win over WBD shareholders. This report is based on coverage from industry publications.
Netflix's $82.7 Billion Deal Targets Warner Bros., HBO & DC Assets
Netflix stunned the industry after reaching a binding agreement worth 82.7 billion to acquire key parts of Warner Bros. Discovery, including Warner Bros. Studios, HBO, HBO Max and the company's gaming division.
Netflix Co-CEO Ted Sarandos defended the strategy during investor and media calls insisting that the streamer would preserve theatrical releases and protect jobs across the entertainment industry.
He stated that Netflix does not intend to dismantle Warner Bros.' traditional film release model and committed to maintaining the studio's existing theatrical slate, even as he acknowledged that cinema-exclusive windows would "evolve" over time to become more consumer-friendly.
At the UBS Global Media and Communications Conference, Netflix Co-CEOs Sarandos and Greg Peters emphasized they were "super confident" the deal would close, positioning the merger as beneficial to shareholders, creators, and audiences.
Paramount Skydance Launches Hostile Takeover Bid for WBD
Just hours after Netflix's deal was unveiled, Paramount Skydance dramatically escalated the battle by launching a hostile, all-cash tender offer directly to WBD shareholders.
Under the proposal led by David Ellison, Paramount offered $30 per share, valuing the company at an enterprise value of $108.4 billion, including debt, significantly higher than Netflix's mixed stock and cash offer of $27.75 per share.
Paramount's bid targets the entire Warner Bros. Discovery empire, including CNN, TBS, TNT, and other linear networks unlike Netflix's proposal, which would spin off most cable assets into a separate entity.
To strengthen its position, Paramount publicly committed to releasing more than 30 films theatrically per year, vowing to preserve traditional cinema windows and distancing itself from Netflix's streaming-first image. The company also pledged to increase theatrical output steadily through 2028, reinforcing its pitch as the more studio-friendly buyer.
According to industry reports, Paramount turned hostile after what it described as repeated delays and resistance from the WBD board, including stalled "clean team" agreements and unanswered communications.
Trump Weighs in as Regulatory Scrutiny Grows
The takeover war has now spilled into the political arena.
Donald Trump, speaking from the White House, declined to publicly back either Netflix or Paramount, stating he wants to first review market share implications and competitive risks.
Trump confirmed he would be personally involved in the government’s regulatory review of the Netflix-WBD deal and acknowledged concerns about the market power Netflix could gain if it controls Warner Bros. and HBO.
Despite his historical ties to the Ellison family (including Larry Ellison and David Ellison) Trump distanced himself from the decision and said he had not discussed the bid with Jared Kushner, whose investment firm is among the financial backers of Paramount’s offer.
Trump also criticized Paramount’s ownership over a recent “60 Minutes” segment, adding further political tension to the already volatile deal-making process.
What This Media Merger Battle Means For Hollywood
The outcome of the Netflix vs Paramount Skydance fight for Warner Bros. Discovery could change the shape of streaming, theatrical film distribution, and the balance of power in global media.
If Netflix wins this bid, the industry will move closer to a studio system where streaming is dominant in which traditional film windows may evolve rapidly. If Paramount succeeds, Hollywood could see a renewed focus on theatrical-first strategies and a more traditional studio-driven system.
The future of Warner Bros., HBO, CNN, and DC now is in the balance and whichever company wins will redefine how movies and television are made, distributed and consumed worldwide.
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