After months of bidding drama, Netflix has secured an agreement to acquire Warner Bros, bringing the Harry Potter, DC and Game of Thrones franchises under its roof while Discovery Global spins off CNN and other legacy networks.
Netflix announced the definitive purchase Warner Bros Discovery on Friday, including its film and television studios, HBO Max and HBO, after a high-stakes months-long bidding war that included rival big-name studios such as Paramount and Comcast.
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In a statement, the streaming giant confirmed the mammoth $82.7 billion (€71bn) deal, which is being framed as a bringing together of "two of the greatest storytelling companies in the world to bring to even more people the entertainment they love to watch the most,” Warner Bros CEO and President David Zaslav said.
"This acquisition brings together two pioneering entertainment businesses, combining Netflix’s innovation, global reach and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling," the announcement continued.
The deal would put Last Week Tonight and the rest of HBO’s late-night and comedy slate under Netflix’s corporate roof but the companies say they intend to keep Warner Bros’ operations running as-is, at least initially.
Selling off the silverware
Just months ago, Warner Bros Discovery was still weighing how much of its crown jewels it was willing to sell.
In June it set out plans to split into two listed companies, with a streaming and studios arm built around Warner Bros, HBO, HBO Max and the group’s film and TV libraries and archives, and a separate Global Networks division, later branded Discovery Global, holding CNN, TNT Sports, Discovery’s channels and services such as Discovery+ and Bleacher Report.
This meant that any buyer could acquire only the studio and streaming assets, while the legacy cable networks were carved off into a standalone business.
Paramount, backed by Skydance, was among the vultures circling at the time, reportedly making more than one majority-cash approach that was rebuffed by Zaslav.
But it was not clear from those early reports whether any successful bidder would end up securing HBO as well as the Warner Bros studio, or whether the company would try to keep its prestige pay-TV brand on a tighter leash.
The Netflix deal removes that ambiguity. Under the new structure, Discovery Global — the cable networks business — will be spun off as a separate company, while Netflix acquires the entire Warner Bros unit, explicitly including HBO and HBO Max.
"This separation is now expected to be completed in Q3 2026, prior to the closing of this transaction ... (featuring the separation of) premier entertainment, sports and news television brands around the world including CNN, TNT Sports in the US, and Discovery, free-to-air channels across Europe, and digital products such as Discovery+ and Bleacher Report," the Netflix statement said.
The boards of both companies have signed off on the deal, but it still faces a series of approvals from competition regulators in the US and overseas, as well as a final shareholder vote at Warner Bros.
Competition authorities are likely to examine whether combining Netflix’s dominant streaming service with HBO Max and one of Hollywood’s biggest studios would give the enlarged group too much power over premium TV, film and licensing, and the regulatory gauntlet is likely to extend the final close by 12-18 months.
