00:00It's official. Netflix has agreed to buy Warner Bros. in a mega deal valued at $82.7 billion.
00:07The company's revealed the acquisition early Friday, altering the course of the entertainment
00:11business. Netflix said that it expects to maintain the current operations of Warner Bros.,
00:16including theatrical releases for films, though specifics aside from top-line deal numbers remain
00:21scarce. Co-CEO of Netflix Ted Sarandos said in a statement,
00:25Our mission has always been to entertain the world. By combining Warner Bros.' incredible
00:30library of shows and movies, from timeless classics like Casablanca and Citizen Kane,
00:35to modern favorites like Harry Potter and Friends, with our culture-defining titles like Stranger
00:40Things, K-pop Demon Hunters, and Squid Game, we'll be able to do that even better. Together,
00:45we can give audiences more of what they love and help define the next century of storytelling.
00:50And the president and CEO of Warner Bros. Discovery, David Zaslav, said in part,
00:54By coming together with Netflix, we will ensure people everywhere will continue to enjoy the
00:58world's most resonant stories for generations to come. In a memo to Warner Bros. Discovery staff
01:04today, Zaslav added, This decision reflects the realities of an industry undergoing generational
01:09change, and how stories are financed, produced, distributed, and discovered, and recognizes the
01:14strong, transformed company we are today, the significant value we have created, and the
01:19resilience and attractiveness that now position us in a rapidly evolving marketplace.
01:24Many in Hollywood are fearful of the deal, with theater owners group Cinema United saying in a
01:28statement overnight that the acquisition, quote, poses an unprecedented threat to the global exhibition
01:33business. The deal is also expected to face heavy regulatory scrutiny, but during a call with Wall
01:39Street analysts Friday morning, Sarandos said, This deal is pro-consumer, pro-innovation, pro-worker,
01:44it's pro-creator, it's pro-growth. And you know our plans here are to work really closely with all the
01:49appropriate governments and regulators, but we're really confident that we're going to get all the
01:53necessary approvals that we need. For much more on this story and all the latest updates,
01:58go to THR.com. This is The Hollywood Reporter News.
Comments