Streaming platform Netflix has entered into an agreement to acquire production and film marketing company Warner Bros. Discovery (WBD) Inc. and its subsidiaries in a cash and stock transaction worth US$82.7 billion.

Under the agreement, Netflix will also acquire HBO Max and HBO. The transaction will close after the separation of WBD ‘s Global Networks Division, Discovery, is placed in a separate publicly traded company.

In June 2025, WBD announced plans to separate its Streaming & Studios and Global Networks divisions into two separate publicly traded companies. This separation is now expected to be completed in Q3 2026, prior to the closing of this transaction.

The newly separated publicly traded company holding the Global Networks division, Discovery Global, will include 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.

Netflix beat out rivals Comcast and Paramount Skydance in what seemed like a long bidding war.

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 storytelling. Beloved franchises, shows and movies such as The Big Bang Theory, The Sopranos, Game of Thrones, The Wizard of Oz and the DC Universe will join Netflix’s extensive portfolio, including Wednesday, Money Heist, Bridgerton, Adolescence and Extraction, creating an extraordinary entertainment offering for audiences worldwide.

“Our mission has always been to entertain the world,” said Ted Sarandos, co-CEO of Netflix. “By combining Warner Bros.’ incredible library of shows and movies—from timeless classics like Casablanca and Citizen Kane to modern favourites like Harry Potter and Friends—with our culture-defining titles like Stranger Things, KPop Demon Hunters and Squid Game, we’ll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling.” 

His co-CEO, Greg Peters, added: “This acquisition will improve our offering and accelerate our business for decades to come.

“Warner Bros has helped define entertainment for more than a century and continues to do so with phenomenal creative executives and production capabilities. With our global reach and proven business model, we can introduce a broader audience to the worlds they create—giving our members more options, attracting more fans to our best-in-class streaming service, strengthening the entire entertainment industry and creating more value for shareholders.”

“Today’s announcement combines two of the greatest storytelling companies in the world to bring to even more people the entertainment they love to watch the most,” said David Zaslav, President and CEO of Warner Bros. Discovery. “For more than a century, Warner Bros. has thrilled audiences, captured the world’s attention, and shaped our culture. By coming together with Netflix, we will ensure people everywhere will continue to enjoy the world’s most resonant stories for generations to come.”

The deal will need regulatory approval before both parties can complete the acquisition, and Sarandos has expressed that he is highly confident of receiving the green light. Still, reports have indicated that Hollywood A-listers have been lobbying against a merger of Netflix and Warner Bros.

Acquiring Warner Bros.’ vast film and TV libraries and HBO and HBO Max programming gives Netflix’s members even more high-quality productions from which to choose. This also allows Netflix to optimise its plans for consumers, enhancing viewing options and expanding access to content.  

The acquisition will also amplify Netflix’s studio capabilities, allowing the company to significantly expand US production capacity and to continue to grow investment in original content over the long term, which will create jobs and strengthen the entertainment industry. 

By uniting Netflix’s member experience and global reach with Warner Bros.’ renowned franchises and extensive library, the company will create greater value for talent—offering more opportunities to work with beloved intellectual property, tell new stories and connect with a wider audience than ever before.