Netflix is reportedly in exclusive negotiations to acquire key Warner Bros Discovery assets, including its film and television studios and streaming platforms, after making an offer of $28 per share, according to a source familiar with the discussions.

The move marks a major strategic pivot for Netflix as it seeks to diversify beyond its traditional subscription-based streaming model and gain ownership of one of Hollywood’s most valuable content libraries.

Netflix Leads the Bidding for Warner Bros Discovery

Warner Bros Discovery, parent company of HBO, had been exploring strategic options and received multiple offers during the second round of bids this week. Other companies that submitted preliminary proposals included Paramount, Skydance, and Comcast.

The $28-per-share Netflix offer exceeds Warner Bros Discovery’s closing stock price of $24.54 on Thursday and outbids Paramount’s previous offer of nearly $24 per share for the company’s assets, which also include cable networks such as CNN, TNT, and TBS.

Paramount has publicly criticized the sale process, claiming it unfairly favors Netflix over other bidders, and has urged Warner Bros Discovery to empower a special committee to ensure impartiality.

Strategic Benefits for Netflix

Acquiring Warner Bros’ assets would transform Netflix into a vertically integrated media powerhouse, giving it direct control over high-profile intellectual property, including the Harry Potter, Game of Thrones, and DC Comics franchises.

The acquisition would reduce Netflix’s reliance on external studios, allowing it to expand into gaming, live entertainment, and broader consumer ecosystems while maintaining exclusive long-term access to premium content.

Netflix is reportedly prepared to pay a $5 billion breakup fee if regulators block the deal. Media reports indicate the companies could announce the agreement within days.

Industry Concerns and Regulatory Scrutiny

News of Netflix’s potential acquisition has sparked concerns across Hollywood. A consortium of prominent film industry figures has urged U.S. Congress intervention, warning of potential economic and institutional challenges if the bid is successful.

The proposed deal comes amid a rapidly consolidating media landscape, with Netflix seeking to compete with other streaming giants by leveraging Warner Bros’ extensive library of films and TV content.

Background: Warner Bros Discovery Sale Process

In October 2025, Warner Bros Discovery’s board rejected a $60 billion offer from Paramount to acquire the entire company, opting instead to pursue a formal sale of selected assets. Netflix has since emerged as the leading contender in this competitive process.

The acquisition, if completed, would mark one of the most significant media mergers in recent history, reshaping the entertainment industry and potentially redefining Netflix’s role as both a content creator and distributor.