UPDATE: And yet, somehow, this story keeps getting worse. Bloomberg is reporting that Netflix has interest in acquiring Warner Bros’ film and TV assets, but not the networks.
If Netflix were to take control of Warner Bros., the consequences for the film industry would be grim. Unless, of course, Netflix uses Warner Bros. as a theatrical release arm—which they won’t. Their end goal is to eradicate theatrical. More likely, Warner Bros.’ film legacy would be absorbed into Netflix’s streaming-first strategy.
Imagine Christopher Nolan’s films—once synonymous with the theatrical experience—locked inside Netflix’s library. Imagine the DC Universe, reduced to streaming content. This isn’t just consolidation—it’s the slow erosion of the film industry as we know it.
We’re still a long way from this nightmare ever becoming reality, but honestly? Just the thought of it makes my skin crawl.
EARLIER: Fresh off taking control of Paramount last month, David Ellison has even bigger ambitions. Despite a recently failed bid, Ellison is still very much eyeing the acquisition of Warner Bros. Discovery—the parent company of HBO, CNN, and Warner Bros. Pictures.
The big news this morning was that Warner Bros. Discovery is now officially up for sale, and with that announcement, WBD shares hit a 52-week high. The news followed weeks of deal chatter surrounding the Hollywood giant, led by CEO David Zaslav.
The company indicated that there is no timeline, but TD Cowen analyst Doug Creutz, in a reaction note, outlined the most likely scenario (via THR):
We continue to think a transaction with Paramount Skydance is reasonably likely. We are more skeptical that other, more attractive bidders will emerge.
Creutz’s prediction should be taken seriously for several reasons. He has a strong track record when it comes to forecasting major entertainment industry moves, and his firm, TD Cowen, is known for its data-driven assessments of media mergers and acquisitions. The fact remains that Ellison’s Skydance already has deep financial backing to make this happen.
It’s also no secret that the pool of potential rival bidders for Warner Bros. Discovery is thin. Given Ellison’s aggressive expansion strategy and the lack of serious competition, the potential for a Paramount–Skydance–WBD deal is very real.
If Ellison’s Skydance were to acquire Warner Bros. Discovery, the effects on the movie and media landscape would be enormous. Just imagine—Paramount Pictures, Warner Bros., HBO, and CNN all under one roof. On the film side, it could reshape franchise strategy, IP like Harry Potter and James Gunn’s DCU could be shaken up.
The ‘Smile’ franchise has a new director. David Bruckner, who made “The Night House” and the 2022 “Hellraiser” reboot, has been hired to direct “Smile 3” for Paramount.