Netflix announced the acquisition of Warner Bros. in a massive $82.7 billion deal. Following this news, serious concerns arose among subscribers about potential price increases. The company sent an email detailing the process to reassure its users. Netflix’s statement pledged that “nothing will change today.” Until the deal is officially finalized, Warner Bros.’ HBO Max and Netflix platforms will continue to operate as completely separate operations.
Urgent email from Netflix to subscribers: What’s changing?
The acquisition requires regulatory and shareholder approval to complete. Netflix stated that it expects the process to take 12 to 18 months. This means the merger could take as early as December 2026, or even as late as the summer of 2027. The email emphasized that major franchises like Harry Potter, Friends, and DC Universe will be combined with Netflix originals like Stranger Things and Squid Game. However, no changes will be made to existing subscription plans and content library until the closure.
The deal has sparked significant political backlash. Senator Elizabeth Warren called on the Justice Department to investigate the acquisition, calling it a “monopolization nightmare.” Warren argues that the merger could lead to job losses and higher subscription fees. Representatives Pramila Jayapal and Republican Senator Mike Lee have also expressed similar concerns, warning that the creation of a massive media giant could mean fewer choices and higher prices for consumers.
Despite all this criticism, Netflix CEO Ted Sarandos asserted that the process is consumer- and creator-friendly and expressed confidence in regulatory approval. It was also stated that the company will continue to release Warner Bros. films in theaters, but their release dates may be shortened. Meanwhile, some reports suggest that Netflix could use this massive content library to develop future AI tools. It’s noteworthy that this move comes on the heels of similar AI initiatives by Disney.
Ultimately, while subscription plans appear secure for now, analysts believe a price hike may be inevitable once the deal is finalized. The merger of two giant platforms will undoubtedly fundamentally shift the landscape of the streaming industry. So, what are your thoughts on this massive acquisition? Do you think the potential price hike of bringing Netflix and Warner Bros. content together in one place is worth it?
