Former Amazon Studios Chief Warns Netflix-Warner Deal Could Create Hollywood Monopoly

A Potential Monopoly in Hollywood: Former Amazon Studios Boss Warns of Centralization Former Amazon Studios chief executive Roy Price has sounded the alarm on the proposed Netflix-Warner Bros. deal, cautioning that it could lead to a monopsony in the film industry. In a New York Times op-ed, Price warned that the combined entity would wield enormous control over the marketplace, potentially altering the cultural output of Hollywood. According to reports, the deal would see Netflix acquire Warner Bros. for a staggering $85 billion, marking one of the largest media mergers in history. The combined company would account for a significant share of the global film and television market, with Netflix's existing subscriber base of over 230 million users and Warner Bros.' extensive library of films and TV shows. The proposed deal has sparked concerns among industry experts and regulators, who fear that the combined entity would have too much control over the market. Price, who now serves as chief executive of International Art Machine, warned that the deal would lead to a centralized system, where every creative decision, every deal, and every career would revolve around the gravitational mass and imprimatur of Netflix. The market impact of the deal is significant, with the combined entity potentially controlling a substantial share of the global film and television market. According to a report by Deloitte, the global film and television market is projected to reach $1.5 trillion by 2025, with the streaming segment accounting for a significant share of the growth. The proposed deal has also raised concerns about the future of the film industry, with some experts warning that it could lead to a homogenization of content. Price argued that the deal would lead to a system where every creative decision is made with the goal of pleasing the largest entity, rather than catering to diverse tastes and preferences. The Warner Bros. deal is not the first major media merger in recent years, with Disney's acquisition of 20th Century Fox in 2019 and AT&T's purchase of Time Warner in 2018. However, the proposed deal is significant due to the sheer scale of the acquisition and the potential impact on the global film and television market. In terms of company background, Netflix has been expanding its reach in recent years, with a growing presence in international markets. The company has invested heavily in original content, producing a range of hit shows and films that have resonated with audiences worldwide. Warner Bros., on the other hand, has a long history of producing iconic films and TV shows, including the Harry Potter and DC Comics franchises. Looking ahead, the proposed deal is likely to face significant regulatory scrutiny, with antitrust authorities in the US and Europe likely to review the deal closely. The outcome of the review will have significant implications for the global film and television market, with the potential for the deal to be blocked or approved with conditions. Ultimately, the proposed Netflix-Warner Bros. deal highlights the ongoing consolidation of the media industry, with major players seeking to expand their reach and control through strategic acquisitions. While the deal may have significant implications for the global film and television market, it also presents opportunities for innovation and growth in the industry.