WASHINGTON (AP) — President Donald Trump expressed his concerns on Sunday regarding Netflix's monumental decision to acquire Warner Bros. Discovery, suggesting this deal could be a problem due to the substantial market share that the combined entity might command.
The president made these comments while walking the red carpet at the Kennedy Center Honors, where he was asked about the $72 billion deal among other topics.
Trump indicated he would have a role in the federal government's decision on whether to approve the merger. If go-ahead is granted, this acquisition could merge two of the prominent entities in the streaming market, thereby affecting Hollywood's landscape heavily.
“There’s no question about it,” Trump stated when addressing the implications of the merger. He remarked on the impressive performance of Netflix and its CEO, Ted Sarandos, whom he met with at the Oval Office last week.
“Well that’s the question,” Trump noted when asked if Netflix should be permitted to acquire Warner Bros., the company behind massive franchises like “Harry Potter” and HBO Max. He acknowledged the market dominance that would follow the merger, emphasizing Netflix's already sizeable share with the addition of Warner Bros. resources.
Sarandos did not make any commitments at their meeting about the merger's future if it is approved, but Trump praised him as a “great person” who has made significant strides in entertainment.
“It could be a problem,” Trump reiterated, underscoring the potential challenges that this merger might present in terms of market competition.
