State Attorneys General Urge DOJ to Block Netflix–Warner Bros Merger

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After Paramount changed its offer, eleven Republican state attorneys general are asking the Department of Justice to carefully examine the planned merger of Netflix and Warner Bros. They’re concerned it could lead to a monopoly in the streaming market and harm traditional movie theaters.

A group of organizations wrote to Attorney General Pamela Bondi, Deputy Attorney General Todd Blanche, and Acting Assistant Attorney General for Antitrust Omeed A. Assefi, expressing concerns that the proposed merger would likely lead to a dominant market position, increased costs for consumers, fewer new products and services, and less competition overall.

States Warn of Monopoly in Streaming

The Attorneys General are highlighting a lawsuit currently in California federal court that claims Netflix buying Warner Bros. would significantly reduce competition among streaming services.

The lawsuit argues that combining these companies would remove a major competitor in the streaming market, likely resulting in increased subscription costs, less diverse content, and fewer options for viewers.

I understand the states are worried, and frankly, so am I. They believe that if Netflix completely controls Warner Bros.’ shows and movies, it could shut out other streaming services and give Netflix a total monopoly. It’s a real concern about fair competition.

Concerns Over Theatrical Movie Releases

The letter also expresses worry about the future of movie theaters. The Attorneys General are concerned that Netflix might change how Warner Bros. typically releases its films in theaters.

The letter mentions concerns raised by film director James Cameron and several industry organizations, who believe that showing movies in theaters is still essential to making them. It also points to comments from Netflix’s Ted Sarandos, who has suggested that movie theaters are becoming obsolete.

The letter argues that shortening how long Warner Bros. keeps movies exclusively in theaters could hurt both theater owners and workers, especially as the industry continues to bounce back from the challenges of the COVID-19 pandemic and recent Hollywood strikes.

“Culturally Catastrophic,” Theaters Warn

The Attorneys General pointed to comments made by Cinema United, a group that speaks for large movie theater chains like AMC and Regal, who warned the proposed merger could be ‘culturally catastrophic’.

As a movie lover, I’m really seeing a lot of debate around Netflix potentially buying a studio that only releases films in theaters. The worry, and I get it, is that it could really shake things up for everyone in the movie business, especially since theaters are finally predicted to have a strong year at the box office. It feels like a potentially risky move that could throw a wrench into how things are starting to recover.

States Call for Clayton Act Review

The group is asking the Department of Justice to carefully examine the proposed merger under antitrust laws, ensuring it won’t significantly reduce competition or lead to a monopoly.

Attorneys General from eleven states – Nebraska, Montana, Alabama, Alaska, Iowa, North Dakota, Kansas, South Carolina, Tennessee, West Virginia, and Utah – have signed on.

I was glad to see the letter offered help to the Department of Justice as they look into this deal. It really emphasized that this merger isn’t just about streaming services – it could change the entire movie industry here in America, and that’s something I’m keeping a close eye on.

https://embed.documentcloud.org/documents/27413726-attorneys-general-letter-netflix-warner-bros/

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2026-02-26 02:33