Netflix facing class action lawsuit over Warner Bros. deal

Netflix is facing a class action lawsuit challenging its $72 billion acquisition of Warner Bros. Discovery’s studio and streaming businesses. The lawsuit, filed by an HBO Max subscriber named Michelle Fendelander, alleges that the deal would minimize competition in the U.S. subscription video-on-demand market, potentially limiting consumer choices. Fendelander is seeking an injunction to block the merger or a solution to mitigate its anti-competitive effects, citing concerns over Netflix gaining control of popular franchises like “Game of Thrones,” “Harry Potter,” and DC Comics.

Netflix has dismissed the lawsuit as “meritless,” characterizing it as an attempt to exploit the deal’s publicity. However, the acquisition is expected to expand viewing options by combining Netflix’s platform with Warner Bros.’ extensive film and television libraries, including HBO and HBO Max programming. Popular titles like “The Big Bang Theory” and “The Sopranos” are slated to join Netflix’s catalog.

While Netflix co-CEO Ted Sarandos stated that HBO and HBO Max will continue as standalone services, co-CEO Greg Peters indicated the company is exploring various packaging options. The deal follows Warner Bros.’ earlier announcement to separate its streaming and studio operations from its cable business, forming a new streaming and studios company and a separate cable entity called “Discovery Global,” expected to be completed in the third quarter of 2026.

(Source：FOX 4 News)