Netflix’s $72 billion deal to buy Warner Bros. and its film and TV operations has triggered strong and immediate reactions across Hollywood, Washington and the wider entertainment industry.
The takeover, one of the biggest in media history, would give Netflix control over the vast Warner Bros. library — including major franchises and long-running TV properties.
While executives from both companies insist the merger will benefit audiences, many industry groups, politicians and creators say the deal threatens competition, workers’ livelihoods and consumer choice.
Industry Fears: Jobs, Theaters and Creativity at Risk
Several Hollywood organizations warned that the merger could accelerate consolidation and weaken the traditional film ecosystem.
Michael O’Leary, CEO of Cinema United, which represents movie theater owners, said Netflix’s current business model “does not support theatrical exhibition,” adding that the deal “will close theaters, hurt communities, and cost jobs.”
The Producers Guild of America urged policymakers to ensure the merger protects producers, theatrical distribution and creative freedom, saying legacy studios “are more than content libraries.”
The Writers Guild of America took an even harder stance, arguing that the world’s biggest streamer absorbing one of its largest competitors would “eliminate jobs, push down wages, raise prices for consumers, and reduce the diversity of content.” The guild said the merger “must be blocked.”
Actor Jane Fonda, speaking on behalf of the Committee for the First Amendment, called the takeover an “alarming escalation of consolidation” that threatens both the industry and the public.
Political Leaders Raise Antitrust Concerns
U.S. lawmakers from both parties questioned whether Netflix’s move violates antitrust rules.
Sen. Roger Marshall, a Republican from Kansas, said the deal “raises serious red flags” and warned that one company should not control both content production and distribution. He called the merger “a textbook horizontal antitrust problem.”
Sen. Elizabeth Warren, a Democrat from Massachusetts, described the proposal as “an anti-monopoly nightmare,” arguing that a combined Netflix–Warner Bros. would control nearly half of the streaming market and could lead to higher prices and fewer choices for consumers.
Rep. Laura Friedman, whose district includes Hollywood and Warner Bros.’ studio lot, said any merger must be judged on its impact on competition and jobs, noting that past consolidations have already cost thousands of industry positions.
Supporters Highlight “More Stories” for Global Audiences
Executives from both companies defended the deal.
David Zaslav, CEO of Warner Bros. Discovery, said it would ensure people “continue to enjoy the world’s most resonant stories for generations to come.”
Netflix co-CEO Ted Sarandos said the merger would “give audiences more of what they love.”
But even former insiders are skeptical. Jason Kilar, former WarnerMedia CEO and Hulu co-founder, said he “could not think of a more effective way to reduce competition in Hollywood” than selling Warner Bros. Discovery to Netflix.