Netflix’s announced purchase of Warner Bros., the 102‑year‑old studio, has sent shockwaves through Hollywood and the movie‑going world. The deal could reshape how films are released, who owns the rights, and how theaters compete in a streaming‑dominated age.
Deal Overview
Netflix’s bid to acquire Warner Bros. represents one of the most significant mergers in entertainment history. Warner Bros. is a pillar of the theatrical business, with three of the top five domestic‑grossing films—
- A Minecraft Movie (first place),
- Superman, and
- Sinners—and the Oscar frontrunner One Battle After Another. The acquisition raises questions about antitrust scrutiny and how ownership by a streaming giant might alter the studio’s release strategy.
Paramount’s Hostile Bid
On Monday, Paramount launched a hostile takeover bid for Warner Bros. Discovery, offering $74.4 billion, or $30 per share in cash. Paramount also intends to buy the studio’s cable television assets. Paramount executives said the offer is about $18 billion more than Netflix’s competing bid. The same bid was previously rejected by Warner Bros. in favor of Netflix’s offer.
Donald Trump’s Reaction
Before the Kennedy Center Honors, President Donald Trump warned that Netflix’s acquisition could be a problem because of the size of the combined market share. He praised Netflix: “Netflix is a great company. They’ve done a phenomenal job. Ted is a fantastic man,” he said of co‑CEO Ted Sarandos, who had met in the Oval Office last week before the deal was announced Dec. 5. Trump added, “I have a lot of respect for him but it’s a lot of market share, so we’ll have to see what happens.”
Theatrical Future Under Netflix
Will Warner Bros. keep releasing movies in theaters? Sarandos said on Friday that they will “continue to support” a “life cycle that starts in the movie theater” for Warner Bros. movies. He also noted that he does not think long exclusive windows are consumer friendly. The pandemic era has seen studios experiment with shorter theatrical windows—shifting from a 90‑day standard to about 45 days, often on a film‑by‑film basis.
Netflix’s Theatrical Releases
Netflix does release some films theatrically, but usually no more than a few weeks before they appear on the streaming platform. These releases serve awards eligibility or are a gesture toward filmmakers. This year’s theatrical releases included:
- Guillermo del Toro’s Frankenstein,
- Kathryn Bigelow’s A House of Dynamite, and
- Noah Baumbach’s Jay Kelly.
Major chains AMC and Regal had refused to program Netflix releases until 2022, when the enthusiasm for Glass Onion, the sequel to Knives Out, helped break the stalemate. Earlier this year, KPop Demon Hunters unofficially topped the box office charts, earning nearly $20 million from a one‑weekend run in theaters two months after debuting on the streamer.
Netflix also owns and operates theaters, such as the Paris Theater in New York and the Egyptian Theatre in Los Angeles.
Upcoming Warner Bros. Slate
The studio’s 2026 slate includes:
- Wuthering Heights (Margot Robbie, February),
- Supergirl (June),
- Practical Magic 2 (September),
- Alejandro Iñárritu’s untitled Tom Cruise movie (October), and
- Denis Villeneuve’s Dune: Part Three (December).
For 2027, Warner Bros. plans sequels to Superman, A Minecraft Movie, and The Batman. Earlier this year, the company said its target was 12 to 14 releases annually across its four main labels: Warner Bros. Pictures, DC Studios, New Line Cinema, and Warner Bros. Animation.
Impact on Movie Theaters
The effect on theaters depends on the deal’s specifics. Cinema United president and CEO Michael O’Leary said hours before the news broke that the acquisition posed “an unprecedented threat to the global exhibition business.” He added, “Regulators must look closely at the specifics of this proposed transaction and understand the negative impact it will have on consumers, exhibition and the entertainment industry.”
Theatrical exhibition has not fully recovered since the pandemic. Before 2020, the annual domestic box office regularly surpassed $11 billion. Since then, it has only surpassed $9 billion once, in 2023, largely driven by Barbie, a Warner Bros. release.
Filmmaker Reactions
It is too early to gauge how top filmmakers will respond. Warner Bros. has long been a home for filmmakers such as Paul Thomas Anderson, Ryan Coogler, and James Gunn. Long‑time collaborators include Villeneuve, Clint Eastwood, and Todd Phillips. The shift toward shorter theatrical windows may prompt some to leave if robust releases are not honored.
Joachim Trier told the Associated Press Monday, “I make films for the big screen and believe in the theatrical experience and I just want to make sure the experience is maintained.” Park Chan‑wook, also speaking to AP Monday, said he did not want to speak specifically because nothing had been confirmed, but added, “I still believe that movies should be watched in theaters.”
The studio’s decision to release films simultaneously in theaters and on HBO Max in 2021 led to a rift with Christopher Nolan, who after eight major films with Warner Bros., including the Dark Knight trilogy, partnered with Universal for Oppenheimer and next year’s The Odyssey.
HBO Max and Netflix Future
Will HBO Max and Netflix become one service? That remains unclear. If the platforms stay separate, bundling options could appear, similar to Disney and Hulu. Netflix said on Friday that adding HBO and HBO Max programming will give its members “even more high‑quality titles from which to choose” and “optimize its plans for consumers.”
Warner Bros. Library
The Warner Bros. library includes classics like Casablanca and Citizen Kane, as well as the Harry Potter movies.
Key Takeaways
- Netflix’s purchase of Warner Bros. could reshape theatrical windows and ownership dynamics.
- Paramount’s $74.4 billion bid is $18 billion higher than Netflix’s offer.
- Warner Bros. plans a robust 2026–2027 slate, with 12–14 releases a year.
Final Thoughts
The Netflix‑Warner Bros. deal sits at the crossroads of streaming dominance and theatrical tradition. As regulators, filmmakers, and theater owners weigh the implications, the industry watches closely. The next 12 to 18 months will reveal whether the merger delivers on its promise to support a life cycle that begins in the movie theater or if it signals a new era of digital-first releases.
