Warner Bros. to Be Sold to Paramount Instead of Netflix
A dramatic shift has unfolded in Hollywood’s corporate landscape. Warner Bros., which was previously set to be acquired by Netflix for $82.7 billion, will now be sold to Paramount Global instead.
A Bidding War with a Twist
After Warner Bros. put itself up for sale, several media giants entered the bidding process. Netflix initially emerged as the winner and formally announced the acquisition on December 5. However, Paramount refused to step aside and continued to push forward with a higher offer.
Leveraging strategic and political connections, Paramount intensified its efforts and ultimately presented a more attractive financial package. Warner Bros.’ board confirmed that Paramount’s revised proposal was superior, forcing a reconsideration of the original agreement.
Netflix then made the unexpected decision not to increase its offer, effectively withdrawing from the race.
A $111 Billion Mega Deal
Paramount will pay approximately $111 billion to acquire Warner Bros., also covering the $2.8 billion breakup fee owed to Netflix.
The acquisition includes:
- Warner Bros.’ film studio
- HBO
- Max
- CNN
- TNT
- TBS
Unlike the previous Netflix agreement, which would have separated traditional TV networks, Paramount’s deal keeps these assets under one umbrella.
The Ellison Factor
The deal has sparked political and public debate, largely due to the involvement of Larry Ellison. The Oracle founder, through financial backing and via his son David Ellison, who plays a leading role at Paramount, has significantly expanded his influence in media.
With this acquisition, the Ellison family’s footprint in global media grows substantially, raising questions about media concentration and political influence.
A New Era in Entertainment
This landmark transaction signals a major consolidation in the entertainment industry. As traditional media and streaming platforms continue to converge, Paramount’s acquisition of Warner Bros. could reshape the competitive landscape for years to come.
