Giant Netflix To Acquire Warner Bros. In $82.7 Billion Deal

Netflix, Inc. and Warner Bros. Discovery (WBD) have reached a definitive agreement for the former to acquire Warner Bros., including its film and television studios, HBO Max, and HBO. The cash and stock transaction has a total enterprise value of approximately $82.7 billion ($72.0 billion equity value).

The acquisition is expected to close in the third quarter of 2026, following the previously announced separation of WBD’s Global Networks division, Discovery Global, into a new publicly traded company. Discovery Global will retain major brands like CNN, TNT Sports, and Discovery+.

This massive combination unites Netflix’s global reach and streaming innovation with Warner Bros.’ century-long legacy of world-class storytelling. Netflix co-CEO Ted Sarandos stated the merger will allow them to entertain the world “even better” by combining Netflix originals like Squid Game and Wednesday with Warner Bros.’ iconic franchises, including Harry Potter, Game of Thrones, The Sopranos, and the DC Universe.

“Together, we can give audiences more of what they love and help define the next century of storytelling.”

-Ted Sarandos

Netflix co-CEO Greg Peters expects the acquisition to accelerate their business for decades, providing more options for consumers, strengthening the entertainment industry, and creating value for shareholders. Netflix plans to maintain Warner Bros.’ current operations, including its theatrical film releases. The company anticipates realizing at least $2–3 billion in annual cost savings by the third year following the closure.

The transaction was unanimously approved by both companies’ Boards of Directors but remains subject to the completion of the Discovery Global separation, regulatory approvals, and WBD shareholder approval.

Have an even deeper dive into this by heading over to Netflix’s very own breakdown.

*Cover image credit: Costar, Eric Thayer