Hollywood twist: Netflix in the process of buying Warner Bros.

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After weeks of competition with Paramount Skydance and Comcast, Netflix has won the race to buy Warner Bros. Discovery. The streaming platform is now in exclusive negotiations with the company to acquire its film and television studios, as well as its SVOD service, HBO Max.

Netflix folds its cards in Hollywood

While Paramount Skydance offered $27 million per share to buy out all of Warner Bros. Discovery, Netflix has only set its sights on the studio and its streaming business for $28 million per share.

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The company led by Ted Sarandos and Greg Peters thus won the bet, but nothing is won yet, because even if the two companies reach an agreement, they will then have to face the American financial and legal authorities who must approve this sale.

However, if Netflix does indeed buy Warners Bros. it will redefine the landscape of the cinema and streaming industry in the United States. Netflix would become the owner of one of Hollywood’s historic studios and its vast catalog of films, which includes the rights to major franchises like Harry Potter and DC as well as HBO series.

Such control over the Hollywood landscape is already frightening exhibitors as well as members of the industry, who have mobilized in a open letter in the US Congress, imploring its members to stop the merger between Warner Bros. and Netflix because this would endanger the cinema market by reducing, among other things, the production of films intended for cinemas.

The Directors Guild of America, the union of American directors, also spoke out on the issue in a press release:

“The announcement that Netflix has obtained exclusive negotiating rights for WBD raises serious concerns within the DGA,” said the union. “We believe that a vibrant, competitive industry that fosters creativity and encourages competition for talent is essential to protecting the careers and creative rights of filmmakers and their teams. We will be meeting with Netflix soon to outline our concerns and better understand their vision for the company’s future.”

Will Netflix acquire Warners Bros. portfolio? and take the head of its studios, thus jeopardizing the future theatrical release of the films of this pillar of Hollywood? The answer in the coming weeks.