EU Regulators Weigh Paramount vs. Netflix in Warner Bros. Discovery Bid

Paramount's theatrical commitment and Netflix's streaming dominance could sway Brussels' decision on the acquisition.

Feb. 24, 2026 at 3:07pm

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The battle between Paramount and Netflix for control of Warner Bros. Discovery is expected to play out in Brussels, where EU regulators are already reviewing the rival merger scenarios. Paramount's David Ellison has been lobbying European officials, arguing that a Paramount-WBD deal would better serve audiences by maintaining theatrical releases. Meanwhile, Netflix is also in discussions with the EU regulator, leveraging its existing relationships in Europe. Analysts believe Paramount may have an advantage due to concerns over Netflix's potential market dominance, but the EU could ultimately impose conditions on whichever deal is approved.

Why it matters

The outcome of this regulatory review in Europe could have major implications for the future of the film industry, determining whether theatrical releases or streaming will take priority. The decision will impact consumer choice, production jobs, and the long-term value of major entertainment franchises.

The details

Paramount's David Ellison has been meeting with EU officials, arguing that a Paramount-WBD merger would guarantee at least 30 theatrical releases per year. Netflix, meanwhile, is also in discussions with regulators, leveraging its existing relationships in Europe. Analysts believe Paramount may have an advantage due to concerns over Netflix's potential market dominance, but the EU could ultimately impose conditions on whichever deal is approved.

  • Ellison recently completed a European lobbying tour, meeting with officials in France, Germany, and the UK.
  • In mid-December, Netflix co-CEO Ted Sarandos met with French President Emmanuel Macron and film industry leaders in Paris.

The players

David Ellison

The head of Paramount Skydance, who is leading Paramount's bid for Warner Bros. Discovery.

Ted Sarandos

The co-CEO of Netflix, who has been meeting with European officials to discuss Netflix's potential acquisition of Warner Bros. Discovery.

Teresa Ribeira

The EU's antitrust chief, who will ultimately decide whether to approve a merger deal.

Donald Trump

The former U.S. president, whose approval of a deal could influence the EU's decision.

Emmanuel Macron

The president of France, who met with Ellison and Sarandos during their European lobbying efforts.

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What they’re saying

“Our intention is to continue to release Warner movies theatrically, respecting traditional theatrical windows, and we will continue to operate Warner studios independently.”

— Ted Sarandos, Netflix co-CEO

“Audiences are best served by greater choice — not less — and by a marketplace that encourages the full spectrum of filmmaking, content creation, and theatrical exhibition.”

— David Ellison

What’s next

The EU's Directorate-General for Competition is expected to formally open an antitrust probe once a deal with either Paramount or Netflix is sealed in the U.S.

The takeaway

The EU's decision on the Warner Bros. Discovery acquisition will have major implications for the future of the film industry, determining whether theatrical releases or streaming will take priority. Both Paramount and Netflix are making their case to European regulators, who will weigh concerns over market dominance and the impact on consumers and jobs.