Netflix's $82.7 Billion Acquisition of Warner Bros. Faces Regulatory Scrutiny but Shows Confidence in Approval

Netflix agreed to acquire Warner Bros. in an $82.7 billion deal following Warner Bros. Discovery's decision to separate its studios and streaming business from its cable networks. The announcement led to a 4% drop in Netflix shares during premarket trading, while Warner Bros. Discovery shares remained largely unchanged. The deal is under heavy skepticism from the White House and faces potential complications from Paramount's letter. However, Netflix has expressed strong confidence in obtaining regulatory approval, indicating positive progress in the review process. Warner Bros. Discovery CEO David Zaslav will continue to run the company through the regulatory process but is expected to move on once the deal closes.