Overview
- Netflix formally announced a proposed $82.7 billion purchase of Warner Bros., HBO and HBO Max, positioning the combined library as a major shift in streaming and studio power.
- Closing is conditioned on Warner separating its traditional cable business and Discovery assets, with the split targeted for the third quarter of 2026 before any full integration.
- Reporting indicates the offer features roughly 85% cash financing and a $5 billion breakup fee designed to protect the deal if it is derailed by regulators.
- Netflix says Warner’s existing operations and theatrical release strategy would be retained, though HBO Max may not continue as a standalone service.
- Hollywood guilds, cinema groups and rivals have signaled opposition and warned of reduced competition and jobs, while Netflix co-CEO Ted Sarandos defended the plan and suggested shorter theatrical windows could follow.