A coalition of Republican attorneys general from 11 states is pushing the U.S. Department of Justice to launch a thorough investigation into Netflix’s massive attempt to acquire Warner Bros. The group argues that the proposed $82.7 billion deal could hurt American consumers and weaken the country’s dominance in the film industry.
In a letter sent to federal regulators, the state officials expressed deep concern about how the merger would impact the entertainment landscape. They warned that allowing the streaming giant to swallow up a historic studio like Warner Bros. would likely destroy competition. The letter argues this “undue market concentration” will inevitably lead to higher subscription prices for families and less choice in what they watch.
Warner Bros. has already accepted Netflix’s staggering cash offer, but the deal is far from done. On Tuesday, the studio confirmed its board is also reviewing a rival bid from Paramount Skydance. Paramount has actively argued that a Netflix takeover would face a mountain of legal trouble, a point the attorneys general seem to agree with.
The state officials want the DOJ to look closely at how this deal affects not just people watching TV at home, but also the theatrical movie market. They fear that if Netflix controls too much of the pipeline, it will stifle innovation across one of America’s most important industries.
By consolidating so many assets under one roof, the attorneys general believe the market will become less reliable. They argue that protecting competition is vital to keeping the U.S. at the forefront of global entertainment.
This political pressure adds a new layer of complexity to what is already a chaotic bidding war. With Paramount Skydance waiting in the wings and regulators now on high alert, Netflix faces a difficult path to closing the deal.
