Advertisement

Discovery-WarnerMedia streaming platform deal gets US anti-trust review nod

The new media entity will compete globally with streaming giants like Netflix and Disney

e4m by exchange4media Staff
Published: Feb 10, 2022 12:27 PM  | 1 min read
WarnerMedia

The WarnerMedia-Discovery deal for creating a new streaming giant has cleared the antitrust review. According to a regulatory filing with the Securities and Exchange Commission (SEC) on Wednesday, the $43 billion deal between the two media companies has cleared an antitrust review from the US government agencies.

Last year, the companies had announced the new media entity would be called Warner Bros. The new company will compete globally in the fast-growing direct-to-consumer business. It is aimed to bring compelling content to DTC subscribers across its portfolio, including HBO Max and the recently launched discovery+.

Last year in May, AT&T had announced to spin off its media business WarnerMedia and merge it with TV company Discover. The decision was taken to create a big player in the media world which would compete with streaming giants like Netflix and Disney.

Once finalised, the merged company will be one of the biggest media conglomerates in the United States, a report by The Verge said.

AT&T had bought WarnerMedia in 2016 for $85.4 billion. The all-stock deal will see AT&T receive $43 billion. This includes a combination of cash, debt securities, and debt retention on the part of WarnerMedia.

According to AT&T, the new company will invest in more original content for its streaming services. This would enhance the programming options across its global linear pay-TV and broadcast channels.

Read more news about (internet advertising India, internet advertising, advertising India, digital advertising India, media advertising India)

For more updates, be socially connected with us on
Instagram, LinkedIn, Twitter, Facebook & Youtube