President Donald Trump signaled on Sunday that Netflix’s planned $72 billion acquisition of Warner Bros Discovery could face resistance from his administration, raising the stakes for what would become one of the most consequential entertainment mergers in decades.
Speaking at the Kennedy Center in Washington, Trump said Netflix already commands “a very big market share,” and warned that its dominance “would go up by a lot” if the deal goes through. While he praised Netflix co-CEO Ted Sarandos — calling him “a great person” who has done “one of the greatest jobs in the history of movies” — Trump made clear that the merger “could be a problem,” and said he expects to be personally involved in the review.
Netflix and Warner Bros announced the deal on Friday, setting the stage to unite blockbuster franchises like Harry Potter, Game of Thrones, The Matrix, Lord of the Rings, and Looney Tunes under a single streaming giant. The agreement, which stunned much of Hollywood, comes as Warner Bros prepares to split its business in 2026, paving the way for the sale.
Regulators will now determine whether the combined company would wield outsized control over the streaming landscape. The U.S. Justice Department could challenge the deal if the merger is deemed to concentrate too much market power, particularly when combining Netflix’s platform with HBO’s deep library and global footprint.
Industry veterans say the key question is how broadly regulators define the market. Blair Westlake, a former Universal Studios executive, noted that YouTube remains the world’s dominant destination for video consumption — far larger than Netflix or cable networks — which could complicate attempts to paint Netflix as an overpowering monopoly.
Still, he expects the deal to win approval eventually, though “with concessions.”
Bill Kovacic, former chair of the Federal Trade Commission, said Trump’s public comments suggest the review process will run unusually close to the White House, “an unprecedented level of presidential control” over what is traditionally a technical antitrust analysis.
The Writers Guild of America, however, urged regulators to block the merger outright, warning that allowing “the world’s largest streaming company to swallow one of its biggest competitors” would harm workers, reduce wages, narrow creative output, and drive up consumer costs.
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Netflix beat several bidders — including Comcast and Paramount Skydance — to secure the deal. Paramount Skydance’s earlier attempt to acquire all of Warner Bros was rejected, despite founder David Ellison’s close ties to Trump.
For now, both companies are projecting confidence. Sarandos said the agreement positions Netflix for “the decades to come.” Whether regulators share that optimism may determine the future shape of the global entertainment market.
