The impact of Netflix acquiring Warner Bros. on the film industry

Netflix's agreement to purchase Warner Bros., one of Hollywoods most historic studios, signals potentially transformative changes for the movie business and cinema culture. As a cornerstone of the big five studios, Warner Bros., with its 102-year legacy, plays a crucial role in theatrical releases. Currently, the studio dominates the domestic box office with three of the top five earning films, including A Minecraft Movie, Superman, and Sinners, alongside Oscar contender One Battle After Another.

The specifics of how Netflixs ownership might alter Warner Bros. operations remain uncertain. Questions about regulatory approval and the eventual structure of the deal have yet to be answered.

The Future of Theatrical Releases

Warner Bros. movies are expected to continue appearing in theaters, at least for the near term. The deal may take 12 to 18 months to finalize, during which time moviegoers can expect business as usual. Netflix co-CEO Ted Sarandos has indicated support for maintaining a theatrical window for Warner Bros. films, though he noted that long exclusive windows may not be ideal for audiences.

Traditionally, theatrical windows lasted around 90 days, but streaming and pandemic-related shifts have shortened them, often varying by individual film. Netflix has previously released movies in theaters for awards consideration or to honor top-tier directors, including Guillermo del Toros Frankenstein, Kathryn Bigelows A House of Dynamite, and Noah Baumbachs Jay Kelly. Major theater chains resisted Netflix releases until 2022, when the success of Glass Onion helped change their stance.

Earlier this year, KPop Demon Hunters achieved nearly $20 million in its brief theatrical run two months after streaming release, highlighting the potential for box office success even with short windows. Netflix also owns and operates several theaters, such as the Paris Theater in New York and the Egyptian Theatre in Los Angeles.

Upcoming Warner Bros. Releases

Warner Bros. has a busy 2026 lineup, including Wuthering Heights with Margot Robbie in February, Supergirl in June, Practical Magic 2 in September, Alejandro Irritus untitled Tom Cruise film in October, and Denis Villeneuves Dune: Part Three in December. The 2027 schedule is expected to feature sequels to Superman, A Minecraft Movie, and The Batman. The studio aims to release 12 to 14 films annually across its labels: Warner Bros. Pictures, DC Studios, New Line Cinema, and Warner Bros. Animation.

Implications for Movie Theaters

The acquisition could significantly impact theaters, according to Cinema United CEO Michael OLeary, who described it as an unprecedented threat to the global exhibition business. He emphasized the importance of regulatory scrutiny to understand potential effects on consumers and the broader entertainment ecosystem. Domestic box office revenue has not fully rebounded since the pandemic, only surpassing $9 billion once since 2020, largely due to Warner Bros. Barbie.

Reactions from Top Filmmakers

Warner Bros. has long been a preferred studio for acclaimed directors, including Paul Thomas Anderson, Ryan Coogler, James Gunn, Denis Villeneuve, Clint Eastwood, and Todd Phillips. Future collaboration may hinge on Netflixs commitment to robust theatrical releases. Previous controversies, like the 2021 simultaneous theater and HBO Max releases, caused notable rifts, exemplified by Christopher Nolan moving his subsequent projects to Universal.

HBO Max and Netflix: One Platform?

Whether HBO Max will merge with Netflix remains uncertain. Even if both services continue independently, bundling options similar to Disney and Hulu could emerge. Netflix stated that adding HBO and HBO Max content will expand its selection of high-quality titles and provide more options for subscribers.

Author: Grace Ellison