In what can only be described as the most expensive flex in streaming history, Netflix is acquiring Warner Bros. for $83 billion in an all-cash deal that would make even Ted Sarandos's accountant sweat. But here's the twist that has Hollywood buzzing: they're actually keeping the HBO team intact.
Greg Peters, Netflix's Co-CEO, made the commitment official during the announcement: "We're going to keep that HBO team and that HBO team is good at working with that talent." It's a rare admission from Netflix brass that maybe, just maybe, someone else knows how to make prestige television.
And honestly? Smart move. HBO has been the gold standard for quality programming since before streaming was even a thing. While Netflix was perfecting the art of algorithmic content—give them credit, they're very good at it—HBO was building relationships with auteurs like David Simon, Mike White, and whoever greenlit Succession deserves a lifetime achievement award.
According to The Hollywood Reporter, Casey Bloys (HBO CEO) and Francesca Orsi (Executive VP of HBO Programming) are expected to retain their positions. Bloys had previously stated he'd focus on continuing HBO's programming rather than worrying about job security—the kind of calm confidence that comes from having The Last of Us and The White Lotus on your résumé.
The big question mark? How HBO Max integrates with Netflix's platform. Peters admitted there's still "ambiguity" about whether these will operate as separate services or merge into one streaming behemoth. He cited Netflix's "AMC Collection" as proof they can play nice with others, though I'm not sure bundling The Walking Dead spinoffs is quite the same as managing HBO's prestige catalog.
Oh, and there's drama: Paramount Skydance has a competing bid at $108 billion. Peters dismissed it as something that "doesn't pass the sniff test," which is entertainment executive speak for "please, we all know you don't have that kind of money."
What this really signals is Netflix acknowledging that throwing billions at content creation isn't the same as cultivating taste. HBO built its reputation over decades by betting on visionaries and letting them cook. Netflix built theirs by having something for everyone, everywhere, all at once. Now they're buying the secret sauce.
In Hollywood, nobody knows anything—except that $83 billion buys you a lot of credibility.
