Why Netflix Is Better Off Without Warner Bros. Discovery

2026-03-09 17:07:00 ET

One of the most hotly contested business deals of recent years has come to an end, and at first glance, Netflix (NASDAQ: NFLX) lost. The streaming giant spent most of the past three months trying to buy the Warner Bros. studio from its parent company, Warner Bros. Discovery (NASDAQ: WBD) .

But Netflix got outbid by a rival. On Feb. 27, Paramount Skydance (NASDAQ: PSKY) announced that it is acquiring the entire Warner Bros. Discovery company for $31 per share in cash. The deal is valued at $110 billion in enterprise value.

Here's the good news for Netflix shareholders: missing out on this deal might be a blessing in disguise. Let's look at a few reasons why.

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