In brief
During a red carpet event for the Kennedy Center Honors, President Trump commented on Netflix’s plan to acquire Warner Bros. Discovery for $72 billion, indicating that the merger could significantly increase their market share and potentially become problematic. Trump emphasized his involvement in the regulatory approval process and lauded Netflix CEO Ted Sarandos but remained skeptical about the merger's implications for competition in the entertainment industry.
WASHINGTON (AP) — President Donald Trump stated on Sunday that Netflix's agreement to acquire Warner Bros. Discovery for $72 billion could pose challenges due to the potential increase in the combined market share of both companies. There’s no question about it, Trump acknowledged when questioned about the deal at the Kennedy Center Honors event.
The President emphasized that he intends to participate in the federal decision-making process regarding the approval of the merger. If sanctioned, this acquisition would unite two of the world's leading streaming platforms under one umbrella, consolidating Warner’s film and television assets—including the much-acclaimed DC Studios—with Netflix’s extensive content library and production capabilities.
Trump remarked, Netflix is a great company. They’ve done a phenomenal job. Ted is a fantastic man,” referring to Netflix CEO Ted Sarandos. The two recently met in the Oval Office ahead of the announcement. However, he also stressed that the significant market share post-merger would warrant careful scrutiny.
When directly asked if Netflix should be permitted to purchase Warner Bros., Trump reflected, Well that’s the question. He reiterated his concerns about the potential ramifications of such market consolidation, stating, They have a very big market share and when they have Warner Bros., you know, that share goes up a lot so, I don’t know.”
Trump highlighted that Sarandos provided no commitments regarding the merger during their discussions, still praising him for his contributions to the film industry. He's done one of the greatest jobs in the history of movies and other things, Trump said, but reiterated that the merger's impact could lead to heightened market dominance, asserting, It could be a problem.\
