Harry Potter, meet “Stranger Things.” Netflix has entered into an agreement to acquire Warner Bros., including its film and television studios, HBO Max and HBO.
The impending acquisition was announced on Friday, Dec. 5, in a move Netflix said will benefit its U.S. production capacity, grow its investment in original content and leave users with more streaming options thanks to Warner Bros.
The two entertainment giants have a major footprint in California, and the acquisition raises questions about how it could affect the state’s film and production industry. The deal will follow Warner Bros. Discovery’s previously announced separation of its streaming and studios division and its global networks division into two companies, and it’ll also have to survive a likely lengthy regulatory battle, USA TODAY reported.
“This acquisition will improve our offering and accelerate our business for decades to come,” Greg Peters, co-CEO of Netflix, said in a statement.
The acquisition sets up the ability for Netflix to bring its users HBO and HBO Max programming and allows for Netflix to “significantly expand U.S. production capacity” and grow its investment in original content “over the long term,” according to the company.
See the brands, networks Warner Bros. owns
Warner Bros. Discovery announced in June its plans to separate the company into two.
The streaming and studios company will consist of Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, HBO, and HBO Max, along with its film and television libraries.
Among Warner Bros.’ extensive film and TV libraries: The Harry Potter franchise, enduring classics such as “Citizen Kane,” the 2023 cultural phenomenon “Barbie,” and “Game of Thrones.”
What Netflix won’t be buying in the multi-billion deal
Its global networks division, which will become Discovery Global, houses a portfolio of television networks and brands. The transaction for Netflix to acquire Warner Bros. is expected to close after the separation of this global-networks-division-turned company, according to the Dec. 5 announcement.
This portfolio, according to Warner Bros. Discovery, includes:
Paris Barraza is a trending reporter covering California news at The Desert Sun. Reach her at [email protected].
This article originally appeared on Palm Springs Desert Sun: Netflix to buy Warner Bros. It gets HBO Max, but what else?
