THE LANDMARK WARNER BROTHERS AND NETFLIX DEAL

In December 2025 the global entertainment industry was thrown into upheaval when Netflix revealed it had struck a definitive agreement to acquire the film-studio and streaming assets of Warner Bros Discovery (WBD) in a deal valuing those assets at around 82.7 billion US dollars.

- By Giselle Gunewardena

The acquisition would fold one of Hollywood's most venerable studios into the world’s largest streaming service. The deal, if approved, promised to reshape not only the business of entertainment but also how stories are created, distributed and consumed across the globe.

Under the announced deal Netflix will acquire WBD's storied film and television studios, along with its streaming service assets, for roughly 72 billion dollars in equity value. The remainder of the 82.7 billion enterprise value reflects the existing debt on WBD’s books. The plan excludes WBD’s linear television networks such as cable news and lifestyle channels, which are slated to be spun off into a separate publicly traded company expected to launch in 2026, with the working name “Discovery Global.”

From Netflix’s perspective the acquisition represents a defining moment in its transformation from a mail-order DVD service into a global streaming behemoth. For decades Warner Bros has amassed a library of iconic content spanning major film franchises, blockbuster television series and timeless classics. That catalogue includes the globally beloved Wizarding World from the Harry Potter films, the vast DC Comics universe, featuring Batman, Wonder Woman and their many costarring sagas, as well as high-profile television properties and cinematic works whose intellectual property alone carries enormous weight. Gaining control of these assets would give Netflix not only prestige, but also a level of creative and commercial leverage unmatched by any competitor in the streaming space.