00:00So there was pressure coming from a lot of directions for the board and for Warner Brothers to accept this
00:04bid.
00:04But one thing that seems a little bit surprising is that Netflix gave up so easily.
00:10Chris, was it just too high of a bid to counteroffer or were there other factors weighing on Ted Serenis'
00:17and Netflix's decision to walk away?
00:19I think there were other factors. You know, it didn't really come down to the day they ultimately announced it
00:23because they had to wait until Warner Brothers approved the Paramount bid because then they would get paid that breakup
00:29fee.
00:30But, you know, there's just a constant drumbeat of the regulatory issues that Paramount was stoking.
00:37You know, the selfies with David Ellison and Lindsey Graham in Washington.
00:42You know, thumbs up where we're going to go see the president speak.
00:46You know, the drumbeat of shareholders, Warner Brothers shareholders asking for more, the threat of a proxy fight, a lawsuit.
00:54I mean, it was just it was just nonstop is Netflix's stock price.
00:58It's just taken a tremendous beating since this began, almost 40 percent decline.
01:02So when you look at the opportunity to just and every time, by the way, suggestion of Paramount, you know,
01:08doing better, you know, Netflix stock would rise.
01:11So so so that was the indication that shareholders didn't want this to happen.
01:16You wrote that Netflix basically won by losing here because their their investors clearly reacted to them losing this bid
01:24positively.
01:25Their stock is up and they got paid two point eight billion, which will make you a lot of Adam
01:29Sandler movies pretty quick.
01:31So, you know, it's I think the best deals people often say that best deals are the ones you never
01:38do.
01:39I think that's certainly the case in Netflix.
01:40And that's really true.
01:40But regardless of what we talked about, are we doing every news loop a lot about the times of
01:41this reason?
01:41Which is interesting.
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