On December 5, 2025 Netflix agreed to acquire Warner Bros Discovery for $82.7 billion, a transaction that moves the studio’s film, television, and gaming divisions under Netflix’s corporate control. Netflix described the purchase as one that “brings together two pioneering entertainment businesses” in a post announcing the deal, and company leadership framed the move as a way to expand global content offerings. Netflix’s press release contains the companies’ joint statements.
This acquisition brings together two pioneering entertainment businesses, combining Netflix’s innovation, global reach and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling. Beloved franchises, shows and movies such as The Big Bang Theory, The Sopranos, Game of Thrones, The Wizard of Oz and the DC Universe will join Netflix’s extensive portfolio including Wednesday, Money Heist, Bridgerton, Adolescence and Extraction, creating an extraordinary entertainment offering for audiences worldwide.
The acquisition covers studios and franchises housed at Warner Bros Games. Named in media coverage are Rocksteady Studios, developer of the Batman Arkham series, and NetherRealm Studios, creator of Mortal Kombat and Injustice. Other units widely reported to be included are Avalanche Software, the team behind Hogwarts Legacy, and TT Games, known for LEGO titles. The agreement carries a $5 billion breakup fee should regulators demand the transaction be unwound. U.S. competition authorities are expected to review the deal and its broader media implications, according to reporting from Bloomberg.
“Our mission has always been to entertain the world,” said Ted Sarandos, co-CEO of Netflix. “By combining Warner Bros.’ incredible library of shows and movies—from timeless classics like Casablanca and Citizen Kane to modern favorites like Harry Potter and Friends—with our culture-defining titles like Stranger Things, KPop Demon Hunters and Squid Game, we’ll be able to do that even better. Together, we can give audiences more of what they love and help define the next century of storytelling.”
The announcement left open how Netflix will operate the newly acquired game studios. The company did not specify whether it plans to more tightly integrate games into its streaming product or allow Warner Bros Games to run independently. Observers noted Netflix closed an internal AAA studio earlier in 2025, which raises questions about future investment and publishing strategy for high-profile franchises. Industry consolidation of this scale reshapes publisher competition and ownership of major IP. ConsolePCGaming previously compared another major takeover when it covered EA’s $55 billion buyout, and recent studio reorganizations such as Nintendo’s purchase of Bandai Namco Studios Singapore offer additional context for how corporate shifts affect development teams and release plans.
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