Netflix’s $72 Billion Purchase of Warner Bros. Raises Industry Worries About Antitrust Problems and Job Cuts

Netflix’s proposed $72 billion acquisition of Warner Bros. Discovery, announced on December 5, 2025, has sparked widespread concern in the entertainment sector, particularly among Hollywood unions, theater owners, and political figures. This merger aims to combine Netflix’s robust streaming platform with Warner Bros.’s prominent studios like HBO Max and DC Studios, creating a powerhouse in the streaming market with a combined subscriber base of 428 million and access to significant franchises such as Harry Potter and Game of Thrones.

Opposition to the deal has emerged from various stakeholders, most notably the Writers Guild of America (WGA), which argues that the merger would result in job losses, wage reductions, and reduced content diversity, contradicting antitrust laws designed to prevent monopolies. Cinema United, representing 30,000 movie screens, warns that the merger could cut up to 25% of annual domestic box office revenue, threatening the theatrical exhibition industry. CEO Michael O’Leary termed the deal an “unprecedented threat,” questioning Netflix’s commitment to broad theatrical releases.

Political figures across the spectrum have also expressed alarm, with Senator Elizabeth Warren and Representative Pramila Jayapal calling the merger an antitrust “nightmare.” They warned it could lead to higher subscription prices and less consumer choice. Republican lawmakers like Senators Mike Lee and Roger Marshall echoed these concerns, cautioning against dangerous market consolidation.

U.S. President Donald Trump has suggested the merger might face substantial regulatory scrutiny from the Department of Justice. In response to the opposition, Netflix has committed to maintaining Warner Bros.’s theatrical releases and supporting Hollywood creatives, while anticipating $2–$3 billion in annual cost savings post-merger. The deal will undergo extensive antitrust reviews in both the U.S. and Europe, with stakeholders closely monitoring its implications.