iWorld
Netflix assures cinema releases and no layoffs after WBD deal: Report
NEW YORK: Netflix has moved to steady nerves in Hollywood after unveiling its $82.7 billion acquisition of Warner Bros Discovery, promising to preserve theatrical releases and avert job losses.
In a memo to employees, later reported by Bloomberg, co-CEOs Greg Peters and Ted Sarandos said all Warner Bros. Discovery films would continue to be released in cinemas before streaming on Netflix. The executives also assured staff that the merger would not trigger layoffs or the closure of departments.
According to an SEC filing, the internal note was designed to give employees clarity on strategic priorities and major developments in a brief update. The co-CEOs framed the deal as a growth play, aimed at strengthening one of Hollywood’s most storied studios and securing the future of film and television production.
Scepticism remains strong. The Writers Guild of America has argued that the transaction breaches antitrust rules, while US senators Elizabeth Warren, Bernie Sanders and Richard Blumenthal have urged the justice department’s antitrust division to scrutinise the merger, warning it could curb competition across the entertainment industry.
Regulators are expected to review the deal in the coming months, setting the stage for legal challenges and industry resistance, even as Netflix pitches the acquisition as a vote of confidence in cinema and creative jobs.
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