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Warner Bros sale sparks industry anxiety
Hollywood's creative workforce is bracing for further upheaval as Warner Bros, the storied studio behind classics like Casablanca and Harry Potter, faces a potential sale to either Netflix or Paramount Skydance. Industry insiders describe the situation as a disaster, with job losses and consolidation looming over an already struggling sector.
Battle for Warner Bros: Tech giant vs. billionaire-backed bid
Two suitors are vying for control of Warner Bros: Netflix, the streaming behemoth accused of undermining theaters, and Paramount Skydance, led by David Ellison-a billionaire with close ties to former U.S. President Donald Trump. Ellison's $108 billion (£81 billion) hostile takeover bid includes financial backing from Saudi Arabia, Abu Dhabi, Qatar, and a fund linked to Trump's son-in-law, Jared Kushner.
Trump himself weighed in, declaring it "imperative that CNN be sold," fueling concerns about political interference and censorship. Meanwhile, Netflix's potential acquisition would focus on Warner Bros' most prized assets-its 102-year-old studio, HBO, and its vast film and TV archive-leaving legacy networks like CNN and TNT Sports to another buyer.
Industry divided over Netflix vs. Paramount
Opinions among Hollywood workers are sharply divided. Some prefer Netflix, citing its hands-off approach to production. "Netflix is much more historically inclined to not micromanage," said a camera assistant. Others favor Paramount Skydance, arguing that at least it won't abandon theaters. "At least with Paramount, we know movies will make it to the big screen," noted a producer who has worked with all three companies.
Netflix has sought to ease concerns, stating it plans to "maintain Warner Bros' current operations and build on its strengths, including theatrical releases." Some point to the company's $70 million restoration of Hollywood's historic Egyptian Theatre as a sign of goodwill. "I think it's a good sign," said sound technician John Evans, who also acts and writes.
Warner Bros' decline under CEO David Zaslav
The studio's troubles are widely blamed on CEO David Zaslav, who earned $51.9 million last year while Warner Bros Discovery posted an $11 billion loss and saw its stock plummet nearly 7%. Zaslav took over in 2022 after merging Discovery with AT&T's WarnerMedia, a deal that resulted in thousands of layoffs.
"Zaslav is just Gordon Gekko-he came in, broke it and sold it all. He said he'd make all shareholders rich and who cares what the history of this place is."
Anonymous producer
Warner Bros defended Zaslav's leadership, with communications head Robert Gibbs stating the studio has "regained its leadership position" with a strong film slate, a unified DC Universe strategy, and a profitable streaming service.
Hollywood's existential crisis
The Warner Bros sale is the latest blow to an industry still reeling from the 2023 actor and writer strikes, which halted productions for months. While 2022 saw a post-pandemic boom, the strikes' aftermath left many studios and streaming services scaling back, leading to mergers and closures. Paramount Skydance's acquisition of Paramount earlier this summer alone resulted in thousands of job cuts.
For many workers, the sale's outcome feels secondary to the broader collapse of opportunities. "Every morning, no matter how much I tell myself to stay positive, I wake up feeling like I've failed in every direction," said an actor now homeless with his family, relying on food banks while taking odd jobs. He, like others, fears the industry's future is being reshaped by AI and consolidation.
Uncertain future on the Warner Bros lot
Amid the turmoil, life on the Warner Bros backlot continues. Tourists snap photos of the Friends café set, while inside, producers and writers keep working. "I've gone through seven mergers," said one producer developing a new show. "But if you make good stuff, you make good stuff."
The producer joked about Elon Musk making a bid but acknowledged the reality: "When you have people worth a trillion dollars, there are no rules."
