Investopedia·2025-12-04 20:05Group 1 - Netflix is reportedly the leading candidate to acquire Warner Bros. Discovery, which includes valuable intellectual properties like HBO Max, Harry Potter, and Game of Thrones [1][2][3] - The acquisition is seen as part of a larger trend in the media and entertainment industry, marking the end of the cable TV era and potentially leading to further consolidation among major streaming platforms [2][3] - Despite being favored in the bidding process, Netflix's stock has declined over 1% recently, reflecting investor concerns about the acquisition and potential antitrust issues [1][4][7] Group 2 - Both Netflix and Paramount Skydance have faced stock declines of approximately 6% and 9% respectively since their initial bids for Warner Bros. Discovery [4] - The market typically reacts negatively to large acquisition offers due to the premium paid by the buyer and investor skepticism regarding the benefits of the merger [5] - Antitrust concerns have been raised by federal officials, suggesting that the merger could create excessive market power in the entertainment sector [7][9]