Streamer Netflix’s acquisition of the iconic Hollywood Studio Warner Bros. Discovery (WBD) will add muscle and sinews to its content offering, but experts said locking cricket rights that will be up for grabs in 2027 might be a gamechanger on the Indian subcontinent.

Netflix has agreed to acquire WBD in a landmark deal valuing the company at an enterprise value of $82.7 billion and an equity value of $72 billion, after WBD spins off its global television networks into a new listed entity, Discovery Global, giving the streaming giant control over one of Hollywood’s most well-known studios and creating a global entertainment behemoth.

Once the spin-off is completed in the third quarter of 2026, Netflix will take over the Warner Bros. film and TV studios, along with HBO and streaming platform HBO Max. Netflix expects $2-$3 billion in annual cost savings by year three and says the deal will be accretive to GAAP earnings per share by year two. The transaction is targeted to close in 12-18 months.

The deal has also drawn comparisons with Disney’s $71 billion acquisition of 21st Century Fox in 2019, with analysts noting that while the two transactions differ in scope, the Netflix–WBD combination moves Netflix closer to the studio scale Disney reached after the Fox merger.

Analysts say it remains unclear how the deal would affect India, though some note that a larger consolidated content catalogue could shape future licensing decisions.

A few industry observers cautiously add that the strengthened portfolio may, over time, prompt Netflix to reassess broader growth opportunities in the market, including whether to evaluate cricket rights when they come up for renewal in 2027, although there is no indication that the company is considering such a move at this stage.

“The Netflix-WBD acquisition is a watershed moment for global streaming and its ripple effects in India will be profound. Content consolidation will bring HBO’s prestige series and WBD’s blockbuster franchises under Netflix, reducing fragmentation and creating Netflix a premium destination for global hits. Licensing disruption is inevitable as existing deals with other platforms expire, paving the way for Netflix exclusivity. This will drive industry to recalibrate their strategies, focusing on sports rights, regional originals and ad-supported models. Competitive pressures will intensify, driving innovation in pricing, bundling and localised storytelling. This deal definitely accelerates India’s OTT evolution towards a more consolidated and consumer-centric ecosystem,” said PwC India partner and leader for media and entertainment Rajesh Sethi.

“This acquisition gives Netflix access to franchises it has historically lacked, reflecting a strategy similar to Disney’s past content acquisitions such as Marvel and Star Wars. The price is significant, and its impact in India may be limited because the audience for premium HBO content remains relatively narrow. In this market, meaningful scale is unlikely unless Netflix eventually pursues cricket,” said N V Capital managing partner Nitin Menon.

Netflix will pay $27.75 per WBD share, including $23.25 in cash and $4.50 in stock. The sale followed a competitive process involving Paramount Skydance and Comcast.

Reuters reported that preliminary bids in November valued WBD at close to $24 per share for the full group in Paramount’s case, while Netflix and Comcast bid only for the studios and streaming assets. Netflix later raised its offer to about $28 per share for the restructured perimeter.

WBD then enters exclusive talks with Netflix. Discovery Global will house CNN, Discovery, TNT Sports, free-to-air European channels and Discovery Plus, all of which remain outside the deal.

Netflix says the acquisition will provide more choice and greater value by combining complementary strengths. Warner Bros.’ studios and HBO’s premium programming will deepen Netflix’s catalogue, and Netflix plans to preserve the studio’s existing operations, including theatrical releases. The combined slate is expected to boost engagement and revenue, expand Netflix’s production capacity and create more opportunities for creators.

Netflix enters the deal in a position of financial strength. It reported about $39 billion in 2024 and has projected $45 billion in revenue in 2025, has a market capitalization of about $437 billion and trades near $103 a share. Its gross debt is about $14.5 billion, and has cash and equivalents of $9.3 billion. WBD posted about $39 billion in revenue, has a market cap of around $60.8 billion, trades near $24.50 a share and carries gross debt of about $34.5 billion with $4.3 billion in cash, equivalents and restricted cash.

Netflix co-CEO Ted Sarandos said the combined libraries would strengthen its mission to entertain the world, citing classics such as Casablanca, Citizen Kane, Harry Potter and Friends.

“This acquisition brings together two pioneering entertainment businesses, combining Netflix’s innovation, global reach and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling,” he noted.

“This acquisition will improve our offering and accelerate our business for decades to come,” added Greg Peters, co-CEO of Netflix.

WBD CEO David Zaslav said the merger would extend Warner Bros.’ century-long storytelling legacy. “By coming together with Netflix, we will ensure people everywhere will continue to enjoy the world’s most resonant stories for generations to come,” he said.

The deal will face regulatory review in the United States and Europe. Analysts say the combination of two major streaming services could draw scrutiny. Some have suggested earlier that a Paramount Skydance bid for the entire WBD group might have had a smoother path because it did not merge two large global streamers.

Netflix has about 302 million subscribers globally and HBO Max has about 128 million (including discovery+), giving the combined services roughly 430 million users.

Larry Ellison, co-founder of Oracle, is a key financial backer of Paramount Skydance through his son David Ellison, who took control of Paramount after Skydance’s 2024 merger.

Analysts said Ellison’s longstanding ties to Donald Trump and his political donations could have eased regulatory prospects, although there is no public indication of any official preference.

The restructuring will affect WBD’s India operations. Linear TV channels will move to Discovery Global. WBD had delayed an HBO Max launch in India and instead licensed HBO and Warner Bros. content.

HBO content exited Disney Hotstar in 2023 and moved to JioCinema, now part of the JioStar-led JioHotstar platform. JioStar pays $20 million per year for WBD content. Analysts expect HBO titles to return to Netflix once the multi-year deal ends.

India is not expected to see a major immediate impact from the deal. Netflix has over 20 million subscribers in the market, but HBO and Warner Bros. titles alone are unlikely to shift the competitive landscape because cricket remains the key driver of streaming growth in India and is controlled by JioHotstar, not Netflix.

While HBO series such as Game of Thrones, Succession and The Last of Us and Warner Bros. films like Oppenheimer and Barbie have strong followings, their return to Netflix will not materially alter market dynamics. Netflix could make a bid for cricket in India when it comes up for renewal in 2027.