Trump signals fresh concerns over streaming power
US President Donald Trump says the planned 72bn-dollar takeover of Warner Brothers Discovery by Netflix could create major problems. He tells an audience in Washington that Netflix already controls a large share of the streaming market and that a merger of this size could raise serious concerns. The companies announce on Friday that they reached an agreement to bring major Warner franchises like Harry Potter and Game of Thrones to Netflix, forming a powerful new media group. The deal still needs approval from competition regulators. A media request to the firms and the White House receives no reply.
Netflix seeks to expand long-term reach
Netflix grows from a DVD-by-mail service in 1997 into the world’s largest subscription streaming platform. The planned takeover, one of the biggest industry moves in years, would strengthen its top position. The agreement would move global titles such as Looney Tunes, The Matrix and The Lord of the Rings to Netflix. The companies expect the deal to close after Warner Bros completes a planned business split in the second half of 2026.
Competition officials examine possible legal issues
The US Justice Department’s competition division may argue that the merger breaks antitrust law if the combined firms dominate too much of the market. Trump says at the Kennedy Center that Netflix already holds a very large market share that would rise sharply if the deal proceeds. He says he will take personal involvement in the approval process and repeatedly stresses Netflix’s growing influence.
Trump praises Netflix leader Sarandos
Trump says Netflix co-chief Ted Sarandos recently visited the Oval Office and praises his leadership. He calls Sarandos a respected figure who has delivered one of the most notable achievements in modern film history. Sarandos admits that the agreement may have surprised investors but says it positions Netflix for long-term success.
Experts point to important structural contrasts
Media executive Blair Westlake says in a radio interview that the main antitrust issue lies in the combination of Netflix with the HBO streaming business of Warner Brothers. He says Netflix does not operate studio production on Warner’s scale and that Netflix’s library remains much smaller. Westlake expects regulators to approve the deal but believes concessions will be required.
White House expected to play a central role
Bill Kovacic, a former chair of the Federal Trade Commission, says Trump’s remarks suggest that the White House will guide the talks over any issues linked to the merger. He argues that this could lead to a level of presidential involvement not seen before in what was once a technical competition review.
Netflix beats major rivals for the agreement
Netflix outbids competitors including Comcast and Paramount Skydance to secure the agreement with Warner Bros. Paramount Skydance, led by David Ellison, previously attempted to buy the entire company, including its cable networks. Warner Bros rejects that bid before placing itself on the market. David Ellison’s billionaire father, Larry Ellison, remains a close ally of Trump.
Writers’ unions urge regulators to block the deal
The Writers Guild of America’s East and West branches call for the merger to be stopped. They argue that the world’s largest streaming platform absorbing one of its strongest competitors breaks the purpose of antitrust law. They warn that the outcome would cut jobs, depress wages, worsen working conditions, raise costs for viewers and reduce the range and diversity of available content.
