US President Donald Trump has expressed caution about Netflix’s massive $72 billion acquisition of Warner Bros Discovery, including its movie studio and HBO streaming networks. Speaking at a Washington DC event, Trump highlighted Netflix’s already significant market share, suggesting the combined entity “could be a problem” for the industry.
A Landmark Media Merger
The merger, announced last Friday, would bring iconic franchises such as Harry Potter, Game of Thrones, The Matrix, Lord of the Rings, and Looney Tunes to Netflix, solidifying its position as a global streaming leader. While the deal is groundbreaking in scale, it still awaits approval from competition authorities, with scrutiny expected over its impact on the streaming market.
Trump’s Personal Involvement
Trump emphasized that he would personally oversee the review and praised Netflix co-CEO Ted Sarandos, calling him “a great person” who has done “one of the greatest jobs in the history of movies.” Sarandos acknowledged that the merger may surprise some investors but described it as a strategic move to secure Netflix’s long-term dominance.
Antitrust Concerns and Market Competition
Industry experts note that antitrust concerns focus mainly on Netflix acquiring HBO’s streaming service rather than Warner Bros’ production studio. Blair Westlake, a former Universal Studios executive, said Netflix’s overall market share would be less dominant if regulators account for competitors such as cable, broadcast TV, and YouTube.
Unprecedented Regulatory Oversight
Bill Kovacic, former chair of the Federal Trade Commission, suggested that presidential involvement could make this merger review unprecedentedly hands-on, going beyond routine regulatory analysis.
Industry Reactions
The deal has also faced criticism from the Writers Guild of America, which warned that combining two major streaming platforms could negatively affect entertainment workers, reduce content diversity, and increase prices for consumers. Netflix successfully outbid rivals including Comcast and Paramount Skydance, after Warner Bros rejected previous acquisition offers.
A New Era for Streaming
If approved, the merger would reshape the global streaming landscape, creating a new media powerhouse with unmatched access to blockbuster franchises and original content. The entertainment industry is now watching closely, as regulators, executives, and creators weigh the implications of this historic deal.
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