CEI Joins ATR in Free-Market Coalition Urging Approval of Warner Bros. Discovery Acquisition

Photo Credit: Getty

Dear Members of Congress,

The proposed acquisition of Warner Bros. Discovery, Inc. by an existing studio would provide great benefits to consumers. Regulators and legislators should allow the free market to operate without undue interference.

On December 5th, 2025, Netflix, Inc. announced a definitive agreement under which it would acquire Warner Bros., including properties such as HBO and HBO Max. Soon after, Paramount Skydance Corporation submitted its own offer to acquire Warner Bros. Discovery.

The proposals for acquisition would create economies of scale in the entertainment industry, allowing for television and film production to be completed and delivered to consumers at a lower cost. The combination of multiple studios can also reduce barriers to licensing, speed up production timelines, and enable more streamlined global distribution, providing a wider range of entertainment products to consumers while preventing additional burdens.

The video streaming market is highly competitive, with traditional film studios competing with other studios, TV and film streaming platforms, as well as video content creators on social media platforms. The majority of young adult viewers now spend more time viewing social media content than streaming content, demonstrating the high level of competition for watch time among consumers.

Some far-left politicians like Senator Elizabeth Warren (D-Mass.) have preemptively criticized the proposed acquisition on the basis that it would create an extensive combined media library. To the contrary, this combined library would allow consumers to view even more of their favorite shows without needing to purchase multiple streaming service subscriptions, providing greater benefits to subscribers.

Congress, the Federal Trade Commission (FTC), and the Department of Justice (DOJ) should follow free-market principles and allow for an acquisition to take place without undue government interference. Regulators should avoid following the previous administration’s “big is bad” philosophy. Instead, they should adhere to the consumer welfare standard, the basis of U.S. antitrust law which focuses on the potential benefits to consumers from proposed merger and acquisition activity.

Sincerely,

Grover Norquist

President Americans for Tax Reform

Saulius “Saul” Anuzis

President

American Association of Senior Citizens

Rowan Saydlowski

Director

Center for Worker Freedom

Jessica Melugin

Director, Center for Technology and Innovation

Competitive Enterprise Institute

David Williams

President Taxpayers Protection Alliance

James L. Martin

Founder/Chairman 60 Plus Association

Phil Kerpen

President American Commitment

Chuck Muth

President Citizen Outreach

James Erwin

Executive Director Digital Liberty