Bold warning: a Netflix-Warner Bros. Discovery deal could upend Hollywood as we know it, triggering an economic and institutional upheaval that many top producers fear could shrink the theatrical film landscape and reshape how movies reach audiences.
Anonymous industry figures—who describe themselves only as a group of “concerned feature film producers”—have sent an open letter to members of Congress. The letter warns of potential catastrophe if Netflix succeeds in acquiring Warner Bros. Discovery. The authors chose to remain unsigned not due to cowardice, but out of concern for possible retaliation given Netflix’s immense market power as both buyer and distributor. Netflix and Warner Bros. Discovery did not comment.
Multiple sources confirm that the signatories include several influential filmmakers.
The letter highlights three major concerns. First, Netflix could destroy the theatrical film marketplace by shortening or eliminating the theatrical window before films move to the Netflix-HBO Max streaming platform. There has been speculation that Netflix’s current proposal could reduce theatrical exclusivity to as little as two weeks, although others close to the matter dispute this, suggesting the windows would be longer. Competing bidders like Comcast and Paramount maintain strong theater distribution networks; Paramount has publicly stated intent to preserve Warner Bros. as a standalone unit, producing at least 14 theatrical releases annually.
Second, the producers argue that Netflix would wield enough market power to compress the theatrical footprint of movies and drive down licensing fees in post-theatrical windows—the very ground on which theaters and indie exhibitors rely.
Third, the note points topeated remarks by Ted Sarandos, Netflix’s co-CEO, emphasizing that Netflix’s strategy does not hinge on driving audiences to theaters—citing a 2023 earnings call in which he stated, “Driving folks to a theater is just not our business.” This framing, the letter argues, underscores Netflix’s fundamental divergence from a traditional theatrical model under the proposed deal.
The letter concludes by urging Congress to scrutinize the acquisition at the highest antitrust levels, arguing that the outcome could affect millions of jobs and a cherished art form.
What’s your take? Do you think preserving theatrical windows should trump other strategic goals in a consolidation of two media giants, or would a broader streaming ecosystem ultimately benefit audiences and creators? Share your thoughts in the comments.
