Netflix’s massive $72 billion bid for Warner Bros Discovery is already facing legal pushback, as a new consumer class-action lawsuit aims to stop the deal before it gets off the ground.
Filed by an HBO Max subscriber, the complaint argues the merger would reduce competition in the U.S. streaming market and hand Netflix control over several of Hollywood’s biggest franchises, including DC Comics, Harry Potter, and Game of Thrones.
Lawsuit Says Deal Threatens Competition
According to The Guardian, the plaintiff claims the acquisition would effectively wipe out HBO Max as one of Netflix’s closest competitors.
The suit also argues Netflix has repeatedly raised subscription prices despite facing “full-scale rivals” like WBD — and suggests that eliminating a major competitor could clear the way for even steeper hikes.
Under federal antitrust law, consumers are allowed to sue to block mergers separately from federal agencies, though such cases typically face a high bar.
Lead attorneys declined to comment, while Netflix dismissed the suit as “meritless” and an attempt to cash in on attention surrounding the deal.
Paramount Enters With Hostile $108.4 Billion Bid
Complicating matters further, Paramount and Skydance launched a hostile $108.4 billion counter-offer for Warner Bros Discovery this week, directly challenging Netflix’s proposal.
WBD’s board says it will review Paramount’s offer as the bidding war intensifies. All signs point to a long regulatory and legal battle whichever direction the takeover goes.
