The global audiovisual industry is facing decisive hours after the unexpected move by Paramount, which submitted a US$108.4 billion offer to block the acquisition of Warner Bros. Discovery by Netflix. The operation has set off alarms in Hollywood due to its impact on competition and the future of theatrical exhibition.
Netflix had already announced a preliminary agreement to acquire Warner for about US$83 billion. With this counteroffer, Paramount reignites a bidding war that is redefining the global entertainment landscape.
A move that shook Hollywood
The first reaction came from exhibition chains. As reported by AFP, industry leaders believe that Netflix's advance on a century-old studio represents an "unprecedented threat" to the continuity of movies in theaters. Michael O’Leary, CEO of Cinema United, was categorical: "Netflix's model doesn't support theatrical exhibition".
