The proposed acquisition of Warner Bros. Discovery by Netflix, valued at $82.7 billion, faces scrutiny from the US Department of Justice. The agency has commenced an investigation to determine if Netflix engaged in any anticompetitive behaviors that could solidify its market dominance.
Initially announced in December, the merger is anticipated to finalize within 12 to 18 months, contingent upon regulatory approvals. The DOJ's inquiry, as reported by The Wall Street Journal, focuses on potential "exclusionary conduct" by Netflix, which might unfairly disadvantage its competitors.
Netflix's attorney, Steven Sunshine, characterized the investigation as a typical procedure, emphasizing that they have not received any notifications regarding a separate monopolization inquiry. The company has confirmed its willingness to cooperate with the DOJ during the acquisition review process. The investigation is still in its early phases and may extend for up to a year before concluding.