President Donald J. Trump has suggested that Netflix’s acquisition of Warner Bros. Discovery could face significant antitrust scrutiny, raising fresh doubts about a transaction that would remake the global entertainment landscape.
Speaking briefly to reporters as he arrived at the Kennedy Center in Washington for a cultural event, Trump said the merger, which would fold one of Hollywood’s most storied studios into the world’s largest streaming platform, warranted a closer look from federal regulators.
“That’s got to go through a process, and we’ll see what happens. But it is a big market share. It could be a problem,” he said.
His remarks, the most substantive to date from the administration on the deal, immediately rippled across political and financial circles.
The acquisition would bring together Netflix’s vast subscriber base with Warner Bros.’ deep catalog and the HBO Max streaming service, creating a platform with as many as 450 million users worldwide.
Such consolidation is expected to draw an extensive review from the Justice Department’s antitrust division, which could argue that the combined company crosses a market-share threshold that raises competitive concerns.
Netflix is preparing to counter that argument by pushing for a broader definition of the market, one that includes YouTube, TikTok and other digital video platforms that increasingly compete for viewer attention. The company has also stressed that the streaming landscape remains fluid, citing its own subscriber losses in recent years.
What you should know
Nairametrics previously reported that Netflix had entered a definitive agreement to acquire Warner Bros. from Warner Bros. Discovery in a deal valued at $82.7 billion.
Under the cash-and-stock arrangement, Warner Bros. Discovery shareholders would receive $23.25 in cash and $4.50 in Netflix stock per share, valuing the company at $72 billion in equity.
The transaction hinges on Warner Bros. Discovery completing a previously announced plan to spin off its Global Networks division into a separate public company, Discovery Global, a process expected to conclude in the third quarter of 2026.
Trump confirmed he met recently with Ted Sarandos, Netflix’s co-chief executive, who has been lobbying for the deal. According to people familiar with the discussions, Mr. Sarandos argued that Netflix does not operate anything resembling a monopoly and faces fierce competition from Amazon Prime Video, Disney+ and emerging global rivals.
