James Cameron Warns Netflix-Warner Bros. Merger Would Be 'Disastrous'

The 'Avatar' filmmaker wrote a letter to a U.S. senator arguing the deal would hurt the theatrical film industry.

Feb. 27, 2026 at 5:47am

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Acclaimed director James Cameron has written a letter to a U.S. senator arguing that if Netflix is successful in its bid to acquire Warner Bros.' studio and streaming businesses, it could cause huge job loss, change the theatrical landscape, and hurt the film export business. Cameron says the business model of Netflix is 'directly at odds' with the theatrical film production and exhibition industry, which employs hundreds of thousands of Americans.

Why it matters

Cameron's letter highlights growing concerns from prominent figures in the entertainment industry about the potential impact of major media mergers and consolidation, especially the integration of streaming services with traditional film studios. The proposed Netflix-Warner Bros. deal could reshape the future of theatrical moviegoing and the broader film ecosystem.

The details

In the letter obtained by CNBC, Cameron wrote to Senator Mike Lee, chair of the Senate subcommittee on antitrust, arguing that a Netflix-Warner Bros. merger 'will be disastrous for the theatrical motion picture business.' He predicted that if the number of big-budget films contracts, 'Theaters will close. Fewer films will be made. The job losses will spiral.' Cameron also contends that exports of Hollywood films would suffer in such a merger, stating 'The U.S. may no longer lead in auto or steel manufacturing, but it is still the world leader in movies. That will change for the worse.'

  • Cameron sent the letter to Senator Lee last week.

The players

James Cameron

An acclaimed filmmaker known for directing blockbuster movies such as 'Avatar' and 'Titanic', who has dedicated his life's work to the theatrical film industry.

Senator Mike Lee

The chair of the Senate subcommittee on antitrust, who received Cameron's letter expressing concerns about the proposed Netflix-Warner Bros. merger.

Netflix

A major streaming service that is reportedly in talks to acquire the studio and streaming businesses of Warner Bros.

Warner Bros.

One of the few remaining major movie studios, which could be acquired by Netflix if the proposed deal goes through.

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What they’re saying

“I believe strongly that the proposed sale of Warner Brothers Discovery to Netflix will be disastrous for the theatrical motion picture business that I have dedicated my life's work to.”

— James Cameron, Filmmaker

“We have received outreach from actors, directors, and other interested parties about the proposed Netflix and Warner Brothers merger, and I share many of their concerns. I look forward to holding a follow-up hearing to further address these issues.”

— Senator Mike Lee, Chair, Senate Subcommittee on Antitrust

What’s next

The Senate subcommittee on antitrust plans to hold a follow-up hearing to further address the concerns raised about the proposed Netflix-Warner Bros. merger.

The takeaway

Cameron's letter highlights the growing anxiety within the entertainment industry about the potential impact of major media mergers, especially the integration of streaming services with traditional film studios. The proposed Netflix-Warner Bros. deal could fundamentally reshape the future of theatrical moviegoing and the broader film ecosystem, raising questions about job losses, the viability of cinemas, and the global competitiveness of the U.S. film industry.