Netflix–Warner Bros. Discovery deal will ‘ultimately destroy Hollywood,' says Matt Stoller

Core Perspective - The consolidation in Hollywood is viewed as detrimental, leading to a decline in the number of movies and a negative impact on creative talent and content creators [2][3][4] Industry Concerns - The consolidation process is seen as a long-standing issue that has resulted in fewer movie studios and less competition in the market [2][3] - There is a concern that the consolidation will ultimately destroy Hollywood, making it harder for talent and content creators to compete [3][4] Economic Implications - The influx of foreign content and the decrease in the number of movies are contributing to a breakdown in the price signaling function, which previously guided studios on what content to produce [4][6] - The shift towards bundled streaming services has led to consumers not paying for specific content, further undermining the traditional economic model of Hollywood [6][7] Historical Context - Historical regulations, such as financial syndication rules and the Paramount decrees, were designed to maintain open markets and ensure effective price signaling, which has been compromised by recent consolidation efforts [7]