Netflix, After Walking Away From Warner Bros. Deal, Will 'Move Forward' With '$2.8 Billion in Our Pocket That We Didn't Have a Few Weeks Ago,' CFO Says
Variety • • business
Key Points:
- Netflix has officially exited the bidding war for Warner Bros., conceding to Paramount Skydance after Paramount raised its offer price, according to CFO Spence Neumann.
- Netflix viewed the Warner Bros. acquisition as a "nice-to-have" opportunity rather than a necessity and withdrew when the price no longer made financial sense, also receiving a $2.8 billion breakup fee from Paramount.
- Despite the loss, Netflix remains confident in its valuation and regulatory approval prospects for Warner Bros. assets and plans no significant change in its M&A strategy moving forward.
- Netflix projects a 10% increase in content spending to approximately $20 billion in 2026, alongside expected revenue growth of 12%-14% and an operating margin target of 31
