These are thoughts I’ve been dreading writing for months, but the day has come: Netflix has won the bidding war for Warner Bros. On Dec. 5, 2025, Netflix announced the deal with Warner Bros. Discovery – for a whopping $72 billion (plus $10.7 billion in debt).
The acquisition will include Warner Bros.’ film and television studios, HBO Max and HBO.
While a long regulatory review process is still ahead, this agreement has the potential to change the movie and television industries… forever.
Many will say you’re overreacting. The truth? You’re not.
The Theatrical Experience
Every cinephile knows the best place to experience a film for the first time is the theater. That is now in jeopardy.
The Dec. 5 press release stated, “Netflix expects to maintain Warner Bros.’ current operations and build on its strengths, including theatrical releases for films.”
A big question arises from this statement – who actually believes this? Especially when Netflix co-CEO Ted Sarandos has said the opposite. And recently.
Just in April, Sarandos called movie theaters “an outdated concept.”
If these are truly his thoughts, then Netflix’s long-term goals obviously don’t lie in movie theaters. That means it’s only a matter of time before the company shifts its stance on “maintaining” Warner Bros.’ current operations.
What does this mean?
If you live in a rural area, you may have to say goodbye to small-town, local theaters. Not immediately. But over time, these small businesses will likely feel the wrath of Netflix’s release model.
Even just hours after the announcement, Sarandos said, “I think, over time, the windows will evolve to be much more consumer friendly, to be able to meet the audience where they are quicker… But our primary goal is to bring first-run movies to our members, because that’s what they’re looking for.”
No matter how the streaming giant spins it, their priority is… streaming.
Quantity Over Quality
Think of your favorite Netflix Original. Beloved TV series include “Stranger Things,” “Ozark,” “Squid Game,” “Dark” and more. For movies, it could be “Uncut Gems,” “Marriage Story,” “Train Dreams” or “Bird Box.”
Now… think of how many bad (or even terrible) Netflix Originals there are. At the end of the day, Netflix relies on a content-engine strategy to fill its library. For every near-masterpiece, there are five – or maybe even 10 – complete misfires.
With this strategy comes an obvious realization: Netflix isn’t aiming to sell quality. It’s aiming to sell quantity.
If Netflix successfully acquires Warner Bros., it will only be a matter of time before this approach carries over.
While Sarandos lauds the merger as “pro-consumer, pro-innovation, pro-worker, pro-creator,” it’s clearly not.
Many people say “they don’t make movies like they used to.” You may find out what that truly means if Netflix consumes one of its largest competitors.
Prices
Netflix currently offers three subscription tiers: standard with ads ($7.99/month), standard ($17.99/month) and premium ($24.99/month).
You can kiss these prices goodbye. When Netflix acquires Warner Bros., it will control many of the largest and most popular intellectual properties in the industry.
This includes franchises like “Harry Potter,” “The Lord of the Rings” and “The Conjuring.” Oh, and the DC Universe. They’ll also hold the reins on classic films including “The Wizard of Oz,” “Citizen Kane,” “The Shining” and “The Goonies.” It doesn’t stop there, with TV shows like “Game of Thrones,” “The Sopranos” and “Euphoria” also included.
There are many more unlisted titles, but the point is clear – Netflix is now a behemoth. And its prices are bound to reflect that.
Physical Media
While on the decline, physical media is still alive and well in 2025 – with many still collecting DVD, Blu-ray and 4K copies of films.
Just in May, Michael De Luca, co-chair and CEO of Warner Bros. Motion Picture Group, spoke about the importance of physical media on the SmartLess podcast.
“When we lost DVDs, when DVDs went away, we did lose a safety net, and streaming doesn’t quite make up that gap,” he said.
With Netflix taking over the Warner Bros. collection, this will create contradictory interests that are hard to ignore. Netflix wants users to watch movies on its platform. Physical media takes people away from streaming.
Because of this, it’s easy to see how this story will end.
Final Thoughts
Every facet of this deal makes one thing clear – it hurts everyone.
If you don’t care what I have to say, at least listen to the Writers Guild of America:
“The world’s largest streaming company swallowing one of its biggest competitors is what antitrust laws were designed to prevent. The outcome would eliminate jobs, push down wages, worsen conditions for all entertainment workers, raise prices for consumers, and reduce the volume and diversity of content for all viewers. Industry workers along with the public are already impacted by only a few powerful companies maintaining tight control over what consumers can watch on television, on streaming, and in theaters. This merger must be blocked.”
This is a dire moment for the future of film and TV. And you’re not overreacting for saying so.
