New Delhi. A deal was made in Hollywood on Friday which shook the entire industry. Netflix has taken a big decision to buy Warner Bros. Discovery for $72 billion i.e. Rs 6.47 lakh crore. This deal will bring two of the biggest giants of the film and TV industry under one roof. This purchase will include Warner’s studios, streaming business, TV production units and big platforms like HBO Max.
It was told by the company that this deal will be in a combination of cash and stock, and the value has been fixed at $ 27.75 per share. This takes the total valuation of Warner to approximately $82.7 billion. The deal is expected to close by the third quarter of 2026, when Warner will spin off its Discovery Global unit and create a new listed company.
Netflix journey
Netflix was started in 1997 by Reed Hastings and Marc Randolph. Earlier it was a DVD rental service, but later it changed the direction of online streaming. With the growth of internet across the world, Netflix became visible on the screens of every home.
Netflix challenged the entire entertainment industry with its strategy of creating original original content. Series like Stranger Things, Squid Game, The Crown, Narcos and Money Heist gave it a distinct identity. Today Netflix is the largest streaming company in the world with millions of subscribers.
Warner Bros.’s 100-year legacy
This is the oldest studio associated with the history of Hollywood. Warner Bros. Pictures was started in 1923 by four brothers Harry Warner, Albert Warner, Sam Warner and Jack Warner. Warner’s name has always been at the top in the glorious legacy of Hollywood.
This is the same studio that gave the world great films like Casablanca, The Exorcist, The Matrix, Harry Potter, Lord of the Rings and The Dark Knight.
Responsibility of HBO Max and DC Studios now lies with Netflix
Apart from big streaming platforms like HBO Max, Warner also has DC Studios which is responsible for iconic characters like Batman, Superman and Wonder Woman.
Combining all these with Netflix can bring a huge change in the streaming market. Now in the future, the worlds of Stranger Things and Batman will be under the same parent company, which gives the company a huge empire of content.
What will be the impact on the entertainment industry?
This deal is considered to be the biggest studio purchase in the history of Hollywood. This simply means that now the race for streaming services will intensify. Netflix will now get such a huge treasure of films, series and characters that it will become very difficult for other streaming players to compete. Now the battle for content variety and library is going to increase in front of big players like Disney, Amazon Prime Video and Paramount.
