Hollywood Unions Push to Block Netflix’s Takeover of Warner Bros—Here’s Why
Netflix’s proposed $72 billion takeover of Warner Bros. Discovery faces strong opposition from Hollywood unions, who warn of job losses, reduced theatrical releases, and unprecedented industry consolidation. Here’s why writers, actors, directors, and cinema groups want the merger blocked.
Hollywood unions protest Netflix’s proposed takeover of Warner Bros. Discovery, raising concerns about job cuts, shrinking theatrical releases, and major industry consolidation.
As Netflix moves forward with its massive $72 billion bid to acquire Warner Bros. Discovery, major Hollywood unions are urging regulators to block the merger, warning that it could severely impact jobs, competition, and the future of theatrical cinema.
The acquisition, one of the entertainment industry’s biggest deals of the decade, would bring HBO, Warner Bros. Studios, and iconic franchises like Batman and Casablanca under Netflix’s control. The proposed merger has sparked immediate backlash across Hollywood.
Unions Warn of Job Cuts & Reduced Theatrical Releases
Netflix said the takeover could deliver $2–3 billion in annual cost savings within three years. But Hollywood unions argue that these “savings” will translate to significant layoffs, weaker labor conditions, and further decline in big-screen movie releases.
According to Cinema United—representing 30,000 US movie screens—the deal threatens to wipe out approximately 25% of the domestic box office.
Although Netflix occasionally releases films in cinemas for awards consideration, theater owners fear these limited runs do not equate to genuine commitment to theatrical distribution.
Writers Guild: ‘This Merger Must Be Blocked’
The Writers Guild of America (WGA) strongly condemned the potential merger, warning of:
- Job losses
- Lower pay
- Reduced competition
- Higher prices for consumers
- “The world’s largest streaming company swallowing one of its biggest competitors is exactly what antitrust laws were designed to prevent,” the WGA said.
The merger will undergo strict antitrust scrutiny in both the US and Europe, with several US lawmakers already voicing concerns.
Cinema United: A Threat Like No Other
Cinema United President Michael O’Leary called the deal “an unprecedented threat”, questioning whether Netflix would maintain Warner Bros.’ theatrical reach.
“Releasing films in a handful of theaters just to qualify for awards is not a real commitment to cinema,” O’Leary said.
Teamsters: ‘Greed-Fueled Corporate Power Grab’
The Hollywood Teamsters, representing drivers, casting crews, mechanics and other behind-the-scenes workers, also denounced the merger.
They called it a “greed-fueled consolidation of corporate power”, urging regulators at all levels to reject it.
Directors & Actors Unions Express Caution
The Directors Guild of America (DGA) took a more measured stance, noting it would meet with Netflix to discuss concerns before commenting further.
Meanwhile, SAG-AFTRA, the actors union, said the deal “raises many serious questions” and that it is currently analysing the full impact on its members.
