Trump warns Netflix deal could create antitrust 'problem'

US President Donald Trump has expressed potential antitrust concerns regarding Netflix Inc.'s planned $72 billion acquisition of Warner Bros. Discovery Inc., noting that the combined company's market share could create problems. This is reported by Bloomberg, writes UNN.

Details

Trump's comments, made on Sunday after arriving at the Kennedy Center for an event, could raise concerns that regulators will oppose the merger of the world's dominant streaming service with a Hollywood icon. The company will face a lengthy Justice Department review of the deal, which will reshape the entertainment industry.

Well, it has to go through some process, and we'll see what happens. But it's a big market share. It could be a problem.

Odds on the Polymarket prediction platform showed a 23% chance of Netflix closing the deal by the end of 2026 — down from approximately 60% before Trump's comments. Warner Bros. shares rose 1% during morning trading on the Blue Ocean platform, while Netflix fell 1.4%.

The deal will combine the world's No. 1 streaming player with HBO Max. The Justice Department's antitrust division, which will review the deal in the US, may argue that it is illegal because the combined market share will exceed the 30% threshold.

Netflix has "a very large market share, and when they get Warner Brothers, that share will grow significantly."

Netflix will become the largest streaming service by revenue if the deal goes through.

The $72 billion acquisition of Warner Bros. faces resistance and antitrust concerns.

Netflix is expected to argue that other services, such as Alphabet Inc.'s YouTube and ByteDance Ltd.'s TikTok, should be included in the market analysis, which would significantly reduce the platform's perceived market dominance.

According to Bloomberg, Sarandos recently met with Trump at the White House to lobby for the deal. At the time, he argued that Netflix was not an all-powerful monopoly and had even lost some subscribers a few years ago, according to people familiar with the situation.

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By choosing Netflix, Warner Bros. rejected an offer from Paramount Skydance Corp., which could lead to a political battle in Washington. Paramount is backed by the world's second-richest person, Larry Ellison, and has long-standing ties to Trump. The acquisition of Paramount, completed in August, received public praise from the president.

European regulators and Britain are also monitoring the situation.

EU regulators are also expected to conduct an intensive review of Netflix's proposal. In the UK, the deal had already attracted attention before the announcement: Baroness Luciana Berger, a member of the House of Lords, asked the government how the transaction would affect competition and consumer prices.

Even if antitrust authorities focus only on streaming, Netflix believes it will ultimately prevail, citing major competitors such as Amazon Prime and Walt Disney Co., according to people familiar with the company's position.

Netflix is expected to argue that more than 75% of HBO Max subscribers already have a Netflix subscription, making the services complementary rather than competitive, said informed sources who wished to remain anonymous due to the confidentiality of the discussions. The company plans to argue that reduced content costs through ownership of Warner Bros., elimination of duplicated backend technologies, and the combination of Netflix with Max will allow for lower prices for users.

Recall

Netflix announced a deal with Warner Bros. Discovery to acquire the television and film studio, including HBO Max, for $72 billion. This transaction, which creates a streaming giant, is expected to close in the third quarter of 2026 and will require careful regulatory scrutiny.