Netflix has agreed to buy Warner Bros. and HBO, a move that will reshape the Hollywood film industry.
Warner Bros owns streaming service HBO Max, and franchises including Harry Potter and Game of Thrones.
The streaming giant emerged as the successful bidder for Warner Bros ahead of rivals Comcast and Paramount Skydance after a drawn-out battle, announcing that the company will acquire famous TV and movie studio and assets like the HBO Max streaming service for $72 billion, plus debt.
Netflix co-chief executive Ted Sarandos expressed strong confidence that the streamer would secure the necessary regulatory approval and said the company was moving “full speed” toward this goal.
He underscored the potential of merging Warner Bros’ extensive library of shows and movies with Netflix originals such as Stranger Things, saying, “We can give audiences more of what they love and help define the next century of storytelling.”
“Warner Bros has defined the last century of entertainment, and together we can define the next one,” he added.
When asked whether HBO would remain a separate streaming service, co-chief executive Greg Peters emphasized the value of the HBO brand for consumers but noted, “It’s still quite early to discuss the specifics of how we’ll tailor this offering for viewers.”
Netflix projects $2–3 billion in savings, primarily by eliminating overlaps in support and technology functions between the two companies.
The company confirmed that Warner Bros films will continue to premiere in cinemas, and the Warner Bros television studio will remain free to produce content for third parties. Netflix, meanwhile, will continue producing content exclusively for its own platform.
