The impact of Netflix's acquisition of Warner Bros. on the film industry

The acquisition of Warner Bros., one of Hollywoods oldest and most influential studios, by Netflix signals a major transformation for both the entertainment industry and the way audiences experience movies. As a pillar of the traditional movie business, the 102-year-old Warner Bros. continues to dominate the domestic box office with top-grossing films including A Minecraft Movie, Superman, Sinners, and the Oscar contender One Battle After Another.

Theatrical Releases Under Netflix Ownership

While Warner Bros. films are expected to continue appearing in theaters, the approach may evolve. The acquisition is not expected to finalize for another 12 to 18 months, meaning audiences will likely see little change in the near term. Netflix co-CEO Ted Sarandos emphasized that the company will support a lifecycle that begins in theaters but also questioned the value of long exclusive windows for consumers.

Traditional theatrical windows, once 90 days, have already been shortened due to streaming and pandemic-era experimentation. Today, release strategies often vary by film, sometimes reaching theaters only 45 days before streaming availability.

Netflix and Theaters

Netflix has occasionally released films in cinemas, usually briefly before streaming to qualify for awards or as a special recognition for filmmakers. Recent examples include Guillermo del Toros Frankenstein, Kathryn Bigelows A House of Dynamite, and Noah Baumbachs Jay Kelly. Large theater chains, including AMC and Regal, resisted Netflix films until 2022, when the success of Glass Onion: A Knives Out Mystery encouraged wider theatrical distribution.

Additionally, Netflix owns and operates several theaters, such as the Paris Theater in New York and the Egyptian Theatre in Los Angeles, indicating a continued interest in the theatrical experience.

Upcoming Warner Bros. Films

Warner Bros. has a diverse lineup for 2026, including Wuthering Heights with Margot Robbie, Supergirl, Practical Magic 2, Alejandro Irritus untitled Tom Cruise project, and Dune: Part Three. Films slated for 2027 include sequels to Superman, A Minecraft Movie, and The Batman. The studio aims to release 12 to 14 films annually across Warner Bros. Pictures, DC Studios, New Line Cinema, and Warner Bros. Animation.

Impact on Movie Theaters

The implications for cinema chains remain uncertain. Cinema United CEO Michael OLeary described the acquisition as an unprecedented threat to global theaters, emphasizing that regulators need to evaluate potential consumer and industry impacts. The domestic box office has yet to fully recover from the pandemic, with annual revenues exceeding $11 billion only occasionally since 2020.

Reactions from Filmmakers

Warner Bros. has long been a destination for leading directors such as Paul Thomas Anderson, Ryan Coogler, James Gunn, Denis Villeneuve, Clint Eastwood, and Todd Phillips. The future of high-profile theatrical releases will likely influence whether these filmmakers continue partnerships with the studio. Past controversies, like the simultaneous HBO Max and theater releases during the pandemic, caused high-profile departures, including Christopher Nolans move to Universal.

Future of Streaming Services

Whether HBO Max and Netflix will merge or remain separate is still unclear. Netflix suggested that adding HBO content will provide subscribers with a wider selection of premium titles and improved consumer options, potentially including subscription bundling similar to Disney and Hulu.

Author: Grace Ellison