Paramount Skydance Secures Warner Bros. Discovery Bid, Netflix Withdraws

In a dramatic development, Paramount Skydance has successfully outbid Netflix for Warner Bros. Discovery, leading to Netflix's withdrawal from the acquisition. The deal, which saw Paramount Skydance offer $111 billion compared to Netflix's $83 billion, has significant implications for the entertainment industry. Netflix's co-CEOs expressed their disappointment but emphasized their commitment to investing in quality content. With this acquisition, Paramount Skydance will gain control over a vast array of popular franchises, reshaping the competitive landscape of streaming services. Read on to discover the full details of this major industry shift.

By Narendra Chaudhary Feb 27, 2026, 08:09 IST

Paramount Skydance Outbids Netflix for Warner Bros. Discovery

In a surprising turn of events, Netflix has opted not to proceed with its acquisition of Warner Bros. Discovery, despite an earlier agreement reached in December. This decision came after WBD announced that Paramount Skydance had submitted a 'superior proposal'. Paramount Skydance's latest offer exceeded Netflix's bid, with a hostile takeover proposal of $111 billion compared to Netflix's $83 billion deal from November 2025. Netflix was required to present a revised offer by March 4 to maintain its interest in the acquisition. Following Netflix's withdrawal, Paramount Skydance has officially secured the bid, as confirmed by WBD's CEO, David Zaslav.

Netflix's Response to the Warner Bros. Discovery Deal

In a statement, Netflix co-CEOs Ted Sarandos and Greg Peters explained that matching Paramount Skydance's latest offer was no longer financially viable. They expressed, “We believe we would have been strong stewards of Warner Bros.’ iconic brands, and that our deal would have strengthened the entertainment industry and preserved and created more production jobs in the U.S. But this transaction was always a ‘nice to have’ at the right price, not a ‘must have’ at any price.”

Ted and Greg further noted, “This year, we’ll invest approximately $20 billion in quality films and series and will expand our entertaining offering. Consistent with our capital allocation policy, we’ll also resume our share repurchase program. We will continue to do what we’ve done for more than 20 years as a public company: delight our members, profitably grow our business, and drive long-term shareholder value.”

Implications for Paramount Skydance

With Paramount Skydance emerging victorious in the bidding process, it will now oversee a vast array of properties including HBO / HBO Max, CNN, CBS, DC Studios, Cartoon Network, Adult Swim, Paramount+, Nickelodeon, MTV, Showtime, TNT, Comedy Central, Turner Classic Movies (TCM), and DC Comics. This acquisition will grant control over major franchises such as Game of Thrones, The Lord of the Rings, Harry Potter, Star Trek, Mission: Impossible, Transformers, The Conjuring, A Quiet Place, Mortal Kombat, Teenage Mutant Ninja Turtles, Looney Tunes, Tom & Jerry, Beetlejuice, Gremlins, SpongeBob SquarePants, Avatar: The Last Airbender, and Dora the Explorer. Last December, Warner Bros had announced plans to sell its film and streaming divisions, including HBO, to Netflix for $27.75 per share, totaling approximately $82 billion, including debt, which sparked various reactions from industry leaders.