Streaming Mega-Merger: Netflix Buys Warner Bros. Studios & HBO for $82.7 Billion

Key Takeaways: DC, Harry Potter, Game of Thrones and the entire HBO library are set to join the Netflix ecosystem in a seismic deal that reshapes the global entertainment landscape.

In a move that has sent shockwaves across Hollywood and the streaming industry, Netflix, Inc. has officially announced a definitive agreement to acquire the film, television studio, and streaming assets of Warner Bros. Discovery (WBD) for an enterprise value of approximately $82.7 billion. This colossal transaction will see one of the world’s most storied entertainment companies, Warner Bros., fall under the control of the streaming giant, effectively ending a high-stakes bidding war.

The Iconic Franchises Headed to Netflix

The acquisition will instantly give Netflix ownership of some of the most valuable and beloved intellectual property (IP) in media history, significantly bolstering its content library and competitive position. The properties involved in the deal include:

• 1. The DC Universe: The complete library of DC Comics films, series, and characters, including Superman, Batman, Wonder Woman, and the future slate of DC Studios content.

• 2. Harry Potter Films and Series: Full control over the globally dominant Wizarding World franchise.

• 3. HBO / HBO Max OTT (and its Library): The entire streaming service and its premium, critically-acclaimed content, including:

  • Game of Thrones (and its spin-offs)

  • The Sopranos

  • Succession

  • The White Lotus

• 4. The Lord of the Rings (via New Line): The rights to the iconic Peter Jackson film trilogy.

• 5. Classic Animation (Looney Tunes, Scooby-Doo): Ownership of foundational animated IP, including Bugs Bunny, Scooby-Doo, and Tom and Jerry.

• 6. Entire Film, TV, and Motion-Picture Group: Control over the century-old Warner Bros. film and TV studios, including a vast archive of classics like Casablanca, Friends, and The Big Bang Theory.

What This Means for the Streaming War and Consumers

The merger, which is valued at $27.75 per WBD share, is expected to close in the third quarter of 2026, following the planned separation of WBD’s cable network division (CNN, TNT, etc.) into a separate entity.

• Content Dominance: This deal instantly provides Netflix with the heritage it lacked, adding decades of world-class, multi-generational franchises to its own hits like Stranger Things and Squid Game.

• Future of HBO Max: While the future is unconfirmed, some reports suggest HBO and HBO Max will continue to operate as a premium, standalone service or a tightly integrated bundle with Netflix, offering more choice for consumers.

• Theatrical Commitment: A key concession by Netflix is the pledge to honor and continue theatrical releases for Warner Bros. films, a major shift for the streamer and a relief for the cinema industry.

The Road Ahead: Regulatory Hurdles

Despite the excitement, the path to closing is fraught with challenges. The deal faces intense scrutiny from regulators in the U.S. and E.U. due to concerns about media consolidation, which critics argue could reduce competition, lead to higher prices, and limit creative diversity. Netflix has signaled its confidence by including a substantial $5 billion breakup fee to offset regulatory risk.