Netflix vs. Paramount: the battle for Warner

The board of directors of Warner Bros. Discovery officially rejected Paramount's hostile bid, valued at $108 billion, arguing that the proposal is inferior to other alternatives and poses "significant risks and costs" to the company and its shareholders.

Key points:

• Netflix's offer: Netflix is offering £82 billion for Warner, including HBO Max and the studio's historic library. Its plan focuses on integrating the digital catalogue and developing exclusive content to strengthen its leadership in streaming.
• Paramount's takeover bid: The purchase of Warner became a battle when Paramount launched a last-minute hostile takeover bid valued at $108 billion. Its proposal included not only the studios and digital catalogue, but also linear networks and news channels such as CNN and Discovery Global. However, Warner's board formally rejected the offer, considering that the proposal did not compensate for the financial, regulatory and operational risks it would entail for the company.
• Antitrust laws: Netflix's purchase could bring it closer to near-total dominance of streaming in the United States, which could reduce competition and limit consumer choice, raising regulatory concerns about monopolistic practices.

The battle between Netflix and Paramount for Warner redefines the entertainment landscape and raises questions about the concentration of power in the streaming industry. The outcome of this confrontation could mark a turning point in the way the audiovisual industry consolidates in the coming years.

Read the full article published in Paramount and  Netflix.