Netflix’s co-CEOs face backlash after announcing an $83 billion deal with Warner Bros Discovery, shifting from their traditional build strategy. Investors express doubt, leading to a 4% stock drop. Despite challenges, Netflix aims to enhance its content library with major franchises like “Game of Thrones” and “Harry Potter.”

The acquisition raises concerns as Netflix reports a modest revenue increase and forecasts underwhelming prospects. Analysts worry about the deal’s high costs impacting long-term profitability. The company secures a $67.2 billion bridge loan to support the acquisition, but faces scrutiny from regulators over potential market monopolization.

Netflix reassures stakeholders that the deal will benefit consumers and workers, emphasizing the potential for new creative opportunities. Co-CEO Sarandos highlights the value of accessing Warner Bros’ extensive content and intellectual property for enhanced development and distribution. The company seeks to leverage this deal for industry-wide benefits.

Read more at Yahoo Finance: Netflix co-CEOs go on defensive over $83 billion Warner Bros deal