Netflix is preparing for one of the biggest shifts in entertainment history after reaching an agreement to buy Warner Bros Discovery’s film studios, TV division, and streaming business for $72 billion.
The landmark deal places one of Hollywood’s most iconic century-old studios under the control of the platform that once disrupted it.
The acquisition marks a striking change in Netflix’s strategy. For years, the company focused on building its own content empire, but this deal signals a major step into traditional studio territory.
Co-CEO Ted Sarandos told investors that Netflix rarely makes such purchases, but the opportunity was too important to ignore.
The agreement followed an intense bidding contest, ultimately beating out rivals including Paramount Skydance and Comcast. By offering nearly $28 per share, Netflix secured access to Warner Bros’ massive catalogue from “Harry Potter” and “Game of Thrones” to DC’s heroes like Batman and Superman.
Through the merger, Netflix expects savings of up to $3 billion within a few years. Analysts say the company is looking to secure long-term control of popular franchises as it tests new areas like gaming and advertising.
Warner Bros Discovery, known for hits such as “Hogwarts Legacy,” may strengthen Netflix’s gaming ambitions as well.
The deal includes large breakup fees on both sides and is expected to be finalized by 2026. Netflix believes this partnership will shape global storytelling for decades ahead, merging Hollywood tradition with streaming innovation.