Major American labour unions have launched a forceful campaign to halt the proposed multi-billion dollar merger between streaming titan Netflix and media powerhouse Warner Bros Discovery. The unions argue the deal would severely harm workers and reduce competition.
Unions Issue Stark Warning Over Mega-Deal
On Friday, 5th December 2025, Netflix confirmed it had agreed to purchase the film and television studios business of Warner Bros Discovery in a colossal deal valued at 72 billion US dollars (approximately £54 billion). The announcement immediately triggered a fierce response from industry representatives.
The Writers Guild of America West (WGAW) and Writers Guild of America East (WGAE), which collectively represent writers across film, TV, radio, and online media, published a joint statement demanding regulators block the acquisition. They warned the merger would have dire consequences for the entertainment sector.
"The world’s largest streaming company swallowing one of its biggest competitors is what antitrust laws were designed to prevent," the statement declared. It went on to predict the move would "eliminate jobs, push down wages, worsen conditions for all entertainment workers, raise prices for consumers, and reduce the volume and diversity of content for all viewers."
The unions highlighted existing concerns over market concentration, stating that workers and the public are already negatively impacted by a handful of powerful companies controlling what audiences watch on television, streaming services, and in cinemas.
Deal Details and Industry Reshaping
The agreement followed an auction process where Netflix emerged as the front-runner to acquire the storied studio. Warner Bros Discovery's assets include the prestigious HBO brand, the streaming service HBO Max, and globally recognised franchises such as Harry Potter and Batman. Netflix reportedly outbid rivals including Paramount Skydance and Comcast, the owner of Sky.
This acquisition promises to dramatically reshape the Hollywood landscape, which has already been undergoing significant upheaval due to the rapid ascent of streaming platforms. Netflix has stated it expects to maintain Warner Bros’ current operations and will continue to release films in cinemas.
The reaction in the UK was also noted. Equity, the British trade union for performing arts and entertainment professionals, stressed the critical importance of protecting cinema releases and safeguarding workers' terms and conditions. Cathy Sweet, Equity's Head of TV and Film, commented: "While company ownership shifts, Equity contracts which underpin the pay, conditions and secondary payments for our members, endure." She welcomed commitments to cinema releases and investment in original content.
Regulatory Scrutiny and Future Timeline
Under the terms of the deal, Netflix will pay $27.75 (£20.79) per share to Warner Bros Discovery investors. However, the transaction cannot close until Warner Bros Discovery completes a proposed spin-off of its cable channels, which include CNN, TBS, and TNT Sports in the UK. Consequently, the process is not expected to finalise until at least the third quarter of 2026.
This extended timeline allows for what is anticipated to be intense scrutiny from competition regulators in both the United States and Europe. Netflix's co-CEO, Ted Sarandos, framed the deal as a boon for audiences: "Our mission has always been to entertain the world... Together, we can give audiences more of what they love and help define the next century of storytelling."
David Zaslav, President and CEO of Warner Bros Discovery, echoed this sentiment, calling the combination a union of "two of the greatest storytelling companies in the world." Netflix stated the move would provide a much deeper content library for subscribers and enhance its studio capabilities for long-term original content investment.
Financial markets reacted cautiously, with Netflix shares edging lower after the announcement. Danni Hewson, Head of Financial Analysis at AJ Bell, noted: "Splashing out so much cash was never going to make the share price jump with delight... How much of those savings get passed to streaming platform subscribers or whether Netflix will be seen to have too much pricing power is one of the areas that will face a huge amount of scrutiny."
