President flags concerns over market dominance
US President Donald Trump expresses doubts about Netflix’s planned $72 billion acquisition of Warner Brothers Discovery. He tells an audience in Washington that Netflix already controls a significant portion of the streaming market. He warns that merging the two companies could create serious competition problems. On Friday, both companies announce an agreement to bring major Warner franchises, including Harry Potter and Game of Thrones, to Netflix. The deal still requires regulatory approval. Requests for comment to the companies and the White House remain unanswered.
Netflix seeks to cement global leadership
Netflix grows from a DVD-by-mail service in 1997 into the world’s largest subscription streaming platform. The planned takeover is one of the largest moves in the entertainment industry in recent years. It would further strengthen Netflix’s dominant position. Under the deal, franchises such as Looney Tunes, The Matrix, and The Lord of the Rings would move to Netflix. Both companies expect the merger to close after Warner Bros completes a planned business split in the second half of 2026.
Regulators assess potential antitrust issues
The US Justice Department’s competition division may argue that the merger breaches antitrust law if the combined company gains too much market control. Trump says at the Kennedy Center that Netflix already holds a large market share, which would rise further if the deal proceeds. He adds that he will personally participate in the approval process.
Trump praises Netflix co-CEO Sarandos
Trump notes that Netflix co-chief Ted Sarandos recently visited the Oval Office and commends his leadership. He calls Sarandos a respected figure who has delivered major achievements in modern film. Sarandos acknowledges that the deal may have surprised investors but says it positions Netflix for long-term growth.
Experts highlight structural differences
Media executive Blair Westlake says in a radio interview that the main antitrust concern comes from combining Netflix with HBO’s streaming business. He notes that Netflix produces less content than Warner’s studios and has a smaller library. Westlake expects regulators to approve the deal but predicts concessions will be required.
White House could influence merger review
Bill Kovacic, former chair of the Federal Trade Commission, says Trump’s comments suggest the White House may guide discussions on potential issues with the merger. He warns this could bring an unprecedented level of presidential involvement to a process previously focused on technical review.
Netflix outbids major rivals
Netflix surpasses competitors including Comcast and Paramount Skydance to secure the Warner Bros agreement. Paramount Skydance previously tried to acquire the full company, including its cable networks. Warner Bros rejects that offer, leaving the way open for new bids. David Ellison of Paramount Skydance receives support from his father, Larry Ellison, 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 authorities to stop the merger. They argue that the world’s largest streaming platform absorbing a major competitor undermines antitrust law. They warn that approval would cut jobs, reduce wages, worsen working conditions, raise consumer prices, and limit both the quantity and variety of content available.
