Netflix's $72 Billion Megadeal Sparks Antitrust Controversy

Netflix's $72 billion acquisition of Warner Bros Discovery's studios faces criticism from U.S. senators, including Elizabeth Warren, for its potential antitrust implications. Critics argue the deal could harm consumers by reducing market competition, leading to higher prices and limited choices. Antitrust reviews by the DOJ are anticipated.

In a major move shaking the entertainment industry, Netflix's acquisition of Warner Bros Discovery's studios for $72 billion has garnered significant bipartisan criticism. U.S. Senator Elizabeth Warren has labeled the deal an antitrust "nightmare" that threatens consumers and workers by potentially reducing market competition.

Despite Netflix's portrayal of the deal as a boon for job creation and consumer affordability, officials from both political parties have expressed concern. Republicans had already voiced apprehensions, with Senator Mike Lee arguing that the transaction could spell the end of the streaming "Golden Age." Meanwhile, Democrats, including Warren, fear increased consumer prices and reduced choice.

As Netflix intends to expand its subscriber base significantly by adding Warner's assets, the deal will undergo extensive antitrust scrutiny by the U.S. Department of Justice. With a potential to reshape the streaming market, the outcome of this review will be closely watched by industry players and consumers alike.

(With inputs from agencies.)