Netflix CEO Testifies in Senate on Warner Bros. Discovery Deal

On February 3, 2026, Netflix co-CEO Ted Sarandos appeared before the Senate Judiciary Subcommittee on Antitrust, Competition Policy and Consumer Rights to address questions about Netflix’s proposed acquisition of Warner Bros. Discovery.

The hearing focused on the potential effects of the $82.7 billion transaction, including its implications for competition in the streaming industry and the broader entertainment market. Sarandos defended the deal and outlined Netflix’s intentions regarding Warner Bros. operations.

During his testimony, Sarandos stated that Netflix would maintain a 45-day theatrical window for Warner Bros. films. He also highlighted that about 80 percent of HBO Max subscribers also have Netflix subscriptions, which he said demonstrates that the two services are complementary rather than direct substitutes.

Warner Bros. Discovery executive Bruce Campbell responded to questions about possible layoffs or price increases by stating that the company does not plan to reduce staff or raise consumer prices. Campbell also said that Warner Bros. Discovery intends to invest in its current production facilities and operations.

What the numbers show

• The proposed acquisition is valued at $82.7 billion, including over $10 billion in debt
• Netflix plans to spend $26 billion on film and TV production in 2026
• About 80% of HBO Max subscribers also subscribe to Netflix

Senators at the hearing raised several concerns about the acquisition. They questioned whether the deal could result in higher prices for consumers, reduced opportunities for creative talent, or negative impacts on the moviegoing experience.

Senator Mike Lee, who chairs the subcommittee, stated that the merger presents serious antitrust concerns and could reduce competition in both streaming and labor markets. Senator Cory Booker noted that Paramount’s CEO did not testify at the hearing but met privately with senators to discuss the matter.

The Senate hearing took place two months after Netflix secured its position as the leading bidder for Warner Bros. Discovery. Paramount is still pursuing a competing offer, with the deadline for its proposal extended to February 20, 2026.

Industry reaction

During the hearing, Warner Bros. Discovery executive Bruce Campbell stated that the company plans to invest in its existing operations and does not anticipate layoffs or higher prices as a result of the proposed acquisition.

Sarandos, representing Netflix, pledged to preserve theatrical release practices for Warner Bros. films and emphasized the company’s planned increase in production spending for 2026.

* This article is based on publicly available information at the time of writing.