The streaming giant Netflix has announced this in the wake of its deal to acquire Warner Bros. (WB) studios and streaming arm (via Deadline). The deal values WBD’s studio and streaming assets at $82.7 billion.
Netflix’s commitment stands in contrast to common expectations that the platform might hoard all of WBD’s content to prevent it from airing on rival platforms, creating exclusivity. Instead, the current promise suggests a more open and less monopolistic content strategy.
This could also soften one of the biggest criticisms against the Netflix-WB acquisition, that the former would corner the market after gaining rights to some of the most popular shows and franchises in the world. However, this could also be an attempt to please regulators and rivals, and their anti-competitive concerns.
In addition to streaming them on its own app and website, Netflix licensing shows to other platforms should keep the streaming ecosystem (which lives and breathes on content) more diverse. Either way, Netflix’s promise implies that WB Studios could continue its existing licensing and revenue models rather than undergo a restructuring into a Netflix-only territory.
As for streaming consumers in the United States, they should expect Warner’s shows to continue streaming on platforms like Apple TV and Hulu, rather than being locked to Netflix. As a result, they won’t have to cancel other subscriptions and rely solely on Netflix.
Although there’s still some time for the acquisition to go through, the commitment to non-exclusivity means stronger content availability, at least in the near future. The big question, however, remains whether Netflix will actually follow through on its promise in the long term.
We’ll get more clarity on this once the company completes the acquisition and how many shows get licensed out (and how many remain exclusive). Furthermore, Netflix’s promise doesn’t really clarify the future of WBD’s streaming service, HBO Max. Will it stay standalone, or will Netflix bundle it along with its subscription? We’ll get answers to these questions with time.
