Could EU Regulators Pick Paramount Over Netflix in Warner Bros Battle?

Variety

by nvivarelli

February 19, 2026

AI-Generated Deep Dive Summary

The battle between Paramount and Netflix over the acquisition of Warner Bros. Discovery is heating up, with European Union regulators potentially playing a decisive role. As U.S. merger discussions continue, EU antitrust officials have already begun informal reviews of both companies’ proposed deals through pre-notification discussions. David Ellison, CEO of Paramount Skydance, has been actively lobbying in Europe, meeting with leaders like French President Emmanuel Macron and emphasizing his company’s commitment to theatrical releases. He argued that a Netflix-led acquisition would reduce competition, while Paramount’s deal would ensure 30 annual film releases in theaters, preserving audience choice and supporting the filmmaking ecosystem. Meanwhile, Netflix is also engaging with EU regulators, drawing on its extensive experience navigating European regulations, such as the AVMS directive requiring investments in local content. However, experts suggest that Paramount may hold an edge due to concerns over Netflix’s dominance in streaming and potential monopolistic effects. If Netflix acquired Warner Bros., it could strengthen its position in negotiations with European producers and exhibitors, potentially harming theatrical releases—a key concern for regulators. Ellison’s focus on preserving movie theaters aligns with EU sensitivities about competition and consumer prices. This high-stakes regulatory battle matters because it could reshape the global entertainment landscape. If the EU sides with Paramount, it would signal a preference for preserving traditional distribution models and fostering competition. Alternatively, a Netflix victory could consolidate streaming power, raising fears of monopolistic control over content and pricing. The outcome will impact not only major studios but also independent filmmakers, consumers, and the future of movie theaters in Europe and beyond.

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Originally published on Variety on 2/19/2026