Netflix Acquires Warner Bros. for $82 Billion

      It’s a somber and significant day for the film industry. Following a remarkable year for Warner Bros, highlighted by the upcoming IMAX 70mm re-releases of One Battle After Another and Ryan Coogler’s Sinners next week, it has now been confirmed that Netflix has officially acquired WB Discovery for $82.7 billion. This marks a transformative shift for the industry that is still being fully understood; however, we anticipate that many directors who value the theatrical experience may look to other studios, akin to Christopher Nolan's move from WB to Universal after the pandemic.

      Update: Ted Sarandos has stated that he will consider reducing theatrical windows for WB films, noting, “I wouldn’t regard this as a shift in strategy for Netflix films or for Warner films. I believe, over time, the theatrical windows will adapt to become more consumer-friendly, allowing us to reach the audience more rapidly… I’d say for now, you can expect that everything set to be shown in theaters through Warner Bros. will continue to do so, and Netflix films will follow the same pattern, which means some will have a shorter theatrical run before heading to streaming. Our main goal is to deliver first-run movies to our members, as that’s what they’re seeking.”

      Read the complete press release below, which references “theatrical” only once.

      Today, Netflix, Inc. and Warner Bros. Discovery, Inc. announced that they have finalized an agreement where Netflix will acquire Warner Bros., including its film and television studios, HBO Max, and HBO.

      The cash and stock deal is valued at $27.75 per WBD share (subject to specific conditions described below), totaling an enterprise value of approximately $82.7 billion (with an equity value of $72.0 billion). The acquisition is expected to finalize after the previously announced division of WBD’s Global Networks unit, Discovery Global, which is anticipated to occur in Q3 2026.

      This merger unites two influential entertainment companies, combining Netflix’s innovation, global reach, and premier streaming service with Warner Bros.’ longstanding legacy of excellent storytelling. Popular franchises, shows, and films such as The Big Bang Theory, The Sopranos, Game of Thrones, The Wizard of Oz, and the DC Universe will enrich Netflix's extensive catalog that includes Wednesday, Money Heist, Bridgerton, Adolescence, and Extraction, offering an extraordinary entertainment selection for audiences globally.

      “Our mission remains focused on entertaining the world,” said Ted Sarandos, Netflix co-CEO. “By merging Warner Bros.’ incredible library—from timeless classics like Casablanca and Citizen Kane to contemporary favorites like Harry Potter and Friends—with our culturally significant titles like Stranger Things, KPop Demon Hunters, and Squid Game, we can enhance that mission. Together, we can provide audiences with more of what they enjoy and help shape the next era of storytelling.”

      “This acquisition will enhance our offerings and boost our business for many years ahead,” added Greg Peters, co-CEO of Netflix. “Warner Bros. has long defined entertainment and continues to impress with outstanding creative talent and production capabilities. With our global presence and established business model, we can introduce a broader audience to the worlds they create—providing our members with more choices, drawing more fans to our leading streaming service, strengthening the entire entertainment sector, and creating more value for shareholders.”

      “Today’s announcement combines two of the leading storytelling companies to provide even more people with the entertainment they love most,” said David Zaslav, President and CEO of Warner Bros. Discovery. “For over a century, Warner Bros. has captivated audiences, drawing global attention, and influencing culture. By partnering with Netflix, we will ensure that stories that resonate globally will continue to be available for generations to enjoy.”

      Combination Will Provide More Choices, Opportunities, and Value

      Complementary strengths and assets: Warner Bros.' studios are globally recognized, establishing the company as a major supplier of television and filmed entertainment. HBO and HBO Max also provide an attractive, complementary offering for consumers. Netflix intends to sustain Warner Bros.' current operations and enhance its strengths, including theatrical releases for films.

      Greater choice and value for consumers: By incorporating Warner Bros.’ extensive film and TV libraries alongside HBO and HBO Max content, Netflix members will gain access to an even wider array of quality titles. This expansion will also enable Netflix to improve its offerings, enhancing viewing experiences and broadening content access.

      A more robust entertainment industry: This acquisition will enhance Netflix’s studio capabilities, allowing for considerable growth in U.S. production capacity and continued investment in original content for the long term, which will create jobs and bolster the entertainment industry.

      More opportunities for creators: By aligning Netflix’s member experience and global reach with Warner Bros.’ esteemed franchises and comprehensive library, the partnership will create more value for talent—providing greater opportunities to engage with beloved intellectual properties, tell new stories, and reach a wider audience than ever.

      Increased value for shareholders: By offering members a broader selection of quality