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Netflix is actively investigating a potential takeover of Warner Bros. Discovery’s (WBD) studios and streaming division. A bold move that would reshape Hollywood’s power structure and redefine streaming competition, especially now when streaming seems like losing to piracy.
According to multiple sources, the streaming giant has retained financial adviser Moelis & Co. and gained access to WBD’s data room to review financials and strategic fit.
What’s Really Going On
Netflix has reportedly initiated discussions to acquire major portions of WBD’s entertainment empire, particularly its studios and streaming operations. However, the company’s interest does not extend to legacy cable assets like CNN, TNT, or Animal Planet, reflecting Netflix’s focus on digital-first, streaming-native businesses that align with its long-term strategy.
Netflix has hired Moelis & Co., the same financial advisory firm that assisted Skydance in its attempted Paramount takeover, signaling serious intent and high-level financial planning. It has also gained access to WBD’s financial data room.
Meanwhile, WBD has confirmed that it is exploring “strategic alternatives” after receiving multiple unsolicited offers from potential buyers. If the deal moves forward, Netflix could gain control over some of the most lucrative entertainment franchises in the world, including Harry Potter, DC Comics, and HBO’s hit originals, many of which already have collaborative ties with Netflix through licensing and production partnerships.
Strategic Rationale: Why Netflix Might Move
Owning WBD’s studio operations would grant Netflix unprecedented control over world-class intellectual property such as Harry Potter, DC, and HBO Originals. This would significantly boost its ability to produce exclusive, high-value content, an advantage that could widen the gap between Netflix and its streaming rivals.
Moreover, this potential acquisition would mark Netflix’s evolution from a pure streaming platform into a vertically integrated media powerhouse capable of creating, distributing, and monetizing content under its own umbrella. Analysts at Lightshed Media have noted that while Paramount may hold a temporary edge in any bidding war, Netflix’s targeted acquisition strategy, focusing specifically on streaming and studio assets, could position it for a more strategic win.
Among the other interested buyers are Paramount Skydance, which has floated a potential offer in the range of $22–24 per share, and Comcast, which is rumored to be exploring its own strategic options.
Challenges Ahead
If this acquisition proceeds, it will face considerable regulatory scrutiny. A merger of this magnitude between two media giants could raise antitrust concerns, especially given Netflix’s dominant market position. Moreover, WBD’s complex debt structure and legacy contracts would make integration a logistical and financial challenge.
If multiple bidders step in, a high-stakes competition could unfold, similar to previous industry battles for Paramount and Fox assets. Meanwhile, WBD’s decision to proceed with its corporate split or finalize a buyer will shape not only its own future but also the trajectory of the entertainment sector at large.
For Pakistani streamers, this might be good news if Netflix succeeds to acquire Warner Bros. studios, as the majority of people use the streaming giant as their go-to. It might be a bit tedious for the new users of HBO Max, which only recently launched in the country, and only has yearly tiers, meaning Pakistani users would have already paid for their HBO Max services.
