Netflix Defends $83 Billion Warner Bros Bid Amid Investor Skepticism

• Netflix is defending its $83 billion bid for Warner Bros. Discovery assets after investor skepticism led to a 15% drop in shares since December 5.
• The acquisition marks a significant shift from Netflix's traditional 'build, don't buy' strategy, forcing co-CEOs Ted Sarandos and Greg Peters to justify the move.
• The deal includes Warner Bros' film and television studios, streaming operations, and popular franchises like Harry Potter and Game of Thrones.
• Netflix aims to leverage Warner's mature theatrical operations and prestigious brands like HBO, despite initial internal skepticism about theatrical distribution.
• Investor concerns persist due to high acquisition costs, modest revenue growth, and anticipated regulatory scrutiny, even with Netflix securing a $59 billion bridge loan.

Why It Matters: Netflix defends its massive Warner Bros acquisition, citing strategic shifts and content value, despite investor doubts.