'Must Be Blocked': Writers Guild of America firmly opposes the merger of Netflix and Warner Bros.

The Writers Guild of America (WGA), representing roughly 20,000 members, has issued a strong warning against Netflixs planned acquisition of Warner Bros., insisting the deal must be blocked.

Netflix recently secured exclusive rights to negotiate an $82.7 billion agreement to acquire Warner Bros., which also includes CNN and HBO Max. Company officials have stated that they intend to preserve Warner Bros. current operations, including continuing theatrical releases for its films.

Despite these assurances, guild members are concerned about Netflixs history of bypassing theaters and releasing most original movies directly to streaming platforms, with only occasional exceptions. The WGA told Variety that such a merger represents the kind of concentration of market power that antitrust laws are meant to prevent.

The guild highlighted several potential negative outcomes: job losses, lower wages, deteriorating working conditions for entertainment professionals, higher prices for viewers, and reduced diversity and volume of content. The statement emphasized that only a few dominant companies currently control much of what audiences can watch across TV, streaming, and cinemas.

The WGA has consistently opposed media consolidation, warning that mergers shrink opportunities for writers. Past deals opposed by the guild include Comcasts acquisition of NBCUniversal (2011), AT&Ts purchase of Time Warner (2016), Disney-Fox (2017), Amazon-MGM (2021), and Warner Bros.-Discovery (2022).

In 2023, the union cautioned that major companies such as Disney, Netflix, and Amazon were becoming the new gatekeepers in the industry. Other organizations speaking out against the Netflix-Warner Bros merger include the Hollywood division of the Teamsters, the Producers Guild of America, SAG-AFTRA, the Directors Guild of America, and Cinema United.

Netflix co-CEO Ted Sarandos responded that the merger does not signal a shift in strategy for Netflix or Warner Bros. films. He stated that over time, release windows may adapt to be more convenient for audiences, emphasizing that the companys main goal is to provide first-run movies to its subscribers.

Author: Connor Blake