The trans-Atlantic regulatory wall is closing in on the streaming deal of the century.
A coalition of senior British politicians and former policymakers has formally requested the Competition and Markets Authority (CMA) launch a full review of Netflix’s (NFLX) proposed $83 billion acquisition of Warner Bros Discovery (WBD).
📜 THE REVOLT: This isn’t just backbench noise. The signatories represent the “Old Guard” of British media policy, including:
- Three former Culture Secretaries: Chris Smith, Oliver Dowden, and Karen Bradley.
- Former BBC Director-General: Tony Hall.
- The Argument: The letter warns the deal would “cement an already dominant player” and lead to a “substantial lessening of competition” with damaging consequences for UK consumers.
🌍 THE GLOBAL SQUEEZE: The UK pushback adds to a growing list of hurdles:
- 🇺🇸 USA: Members of Congress have already branded the deal an antitrust “nightmare” for creatives.
- 🇪🇺 EU: Regulators are reportedly preparing to scrutinize the Netflix bid alongside a rival offer from Paramount Skydance, setting up a rare head-to-head review.
💡 ANALYST TAKEAWAY: When three former Culture Secretaries and the ex-head of the BBC unite, it signals that the UK views this merger not just as a market issue, but as a threat to the British creative ecosystem. The CMA has recently shown its teeth (see: Microsoft/Activision), and with this level of political cover, a “Phase 2” investigation is almost guaranteed. Netflix isn’t just buying content libraries; they are buying a regulatory war on three fronts.
👇 M&A Legal Pros: With the CMA, FTC, and EU Commission all circling, is an $83B media merger even closable in this antitrust environment?