Netflix pulls out of Warner Bros merger as Paramount increases bid

While Warner Bros had initially been intent on accepting Netflix's buyout offer, Paramount ultimately started a bidding war for the company. Now, Netflix has confirmed that it is pulling out.

Netflix will no longer be buying Warner Bros Discovery as planned. Paramount Skydance has increased its bid for the company to $31 per share, making its buyout offer worth tens of billions more than Netflix's offer. Paramount will also be paying Netflix $2.8 billion to settle the contract termination fee with Warner Bros.

For gamers, this is slightly concerning news. While Netflix's gaming operation is still quite new, it would be in a better position to take over the likes of NetherRealm and Rocksteady. Paramount on the other hand has very little experience with AAA video games and may not be interested in that aspect of the deal at all.

It is unclear when the Paramount – Warner Bros merger will finalise. The deal will still be subject to regulator approvals and that process can take years.

KitGuru Says: Do you think this new merger will be successful for Paramount?

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