In a development that could reshape Hollywood’s landscape, Netflix is reportedly preparing to submit a bid to acquire Warner Bros., the iconic studio behind franchises like DC Comics, Harry Potter, and The Lord of the Rings. According to a September 19, 2025, report from Puck News, a well-placed source indicated that Netflix is seriously considering an offer for Warner Bros. Discovery’s (WBD) assets, joining a growing list of suitors amid the company’s strategic pivot and recent box office successes. This comes on the heels of David Ellison’s Skydance Media—fresh off its $8 billion Paramount acquisition—expressing interest in WBD, potentially sparking a bidding war for one of the industry’s crown jewels.
For investors, filmmakers, and streaming enthusiasts, Netflix’s potential move signals an aggressive consolidation play in a market where content libraries are king. With WBD’s stock hovering around $19 per share and analysts projecting limited upside without a major deal, Netflix’s entry could value the target at $20-22.50 per share, primarily in cash. This would give Netflix unprecedented control over theatrical releases, HBO Max’s library, and Warner’s gaming arm, but it raises questions about antitrust scrutiny and the future of cinema. Let’s unpack the rumors, potential deal structure, and industry fallout.
The Rumors: Netflix Joins the Warner Bros. Bidding Frenzy
Puck’s Dylan Byers revealed that Netflix is “running the numbers” on a bid for WBD, focusing on the studio and streaming operations rather than legacy cable assets like CNN or TBS. This interest was tipped by a Hollywood insider shortly after reports of Ellison’s overtures, suggesting Netflix sees Warner’s IP as a content goldmine to fuel its $17 billion annual programming spend. Wells Fargo analyst Steven Cahall noted that while Apple and Amazon are unlikely to pursue the full package due to regulatory hurdles, Netflix’s streaming-first model aligns perfectly with Warner’s assets.
Key players in the mix:
| Potential Bidder | Stake/Interest | Valuation Estimate | Strategic Fit |
|---|---|---|---|
| Netflix | Full studio/streaming acquisition (rumored) | $20-22.50/share | Bolsters library with DC, HBO originals; theatrical arm for prestige |
| Skydance (David Ellison) | All-cash bid for entire WBD | $20-24/share | Merges Paramount/Warner for studio powerhouse; Ellison family control |
| NBCUniversal | Exploratory (numbers run) | Undisclosed | Cable/streaming synergies, but mega-merger logistics daunting |
WBD CEO David Zaslav is reportedly open to splitting assets, with the studio/streaming side valued higher than linear TV amid 2025’s hits like Sinners, Weapons, and Superman.
Why Now? Warner’s Banner Year and Streaming Wars
Warner Bros. Discovery’s 2025 resurgence—fueled by box office blockbusters and HBO Max’s subscriber gains—has made it an attractive target, but underlying debt ($40 billion+) and cable declines necessitate a sale or split. Netflix, facing content fatigue and rising subscriber churn (down 1 million in Q2 2025), views Warner’s IP as a library lifeline, potentially adding $5-7 billion in annual value through exclusives and remakes.
Strategic drivers:
- Content Synergies: Warner’s DC Universe, Lord of the Rings, and HBO originals complement Netflix’s originals like Stranger Things.
- Theatrical Edge: Netflix could leverage Warner’s cinema arm for prestige releases, countering its streaming-only stigma.
- Market Consolidation: Post-Paramount-Skydance, WBD’s $19/share price offers a bargain entry vs. Netflix’s $700+ valuation.
Critics warn a Netflix-Warner tie-up could “eradicate theatrical” releases, absorbing Warner’s legacy into streaming slop.
Potential Deal Structure and Challenges
A Netflix bid might target Warner’s studio and Max for $40-50 billion, leaving cable networks for divestiture. Cash-heavy like Ellison’s offer, it would require board approval amid WBD’s $40 billion debt.
Hurdles:
- Antitrust Scrutiny: DOJ could block a 30%+ market share in streaming; EU probes loom.
- Zaslav Factor: CEO’s track record (e.g., HBO Max chaos) may deter, but 2025’s hits like Barbie sequels bolster his case.
- Shareholder Pushback: WBD stock’s 50% YTD drop demands a premium; split valuation debates persist.
If successful, Netflix could remake classics like Mad Max for streaming, reshaping cinema.
Implications: A Hollywood Reckoning
For filmmakers, a Netflix-Warner merger threatens theatrical windows, prioritizing day-and-date releases. Investors eye synergies boosting Netflix’s $250 billion valuation, but debt integration risks a downgrade. Consumers gain a super-library but lose cinema diversity.
Broader: Accelerates consolidation post-Disney-Fox, with NBCUniversal’s interest hinting at more mega-deals.
Conclusion: Netflix’s Warner Gambit – Streaming’s Ultimate Power Grab
Netflix’s rumored bid for Warner Bros. could forge a content behemoth, merging HBO’s prestige with Netflix’s scale in a $50-60 billion deal. Amid Ellison’s challenge, it’s a high-stakes auction that could redefine Hollywood—boosting libraries but burying theaters. As bids firm, Zaslav’s next move will echo across the industry. Hindustan times
