Netflix drops out of Warner Bros. purchase after Paramount raises offer to an amount that wasn't "financially attractive" for the streamer to match

After months of back-and-forth, Netflix has walked away from its attempted acquisition of Warner Bros., paving the way for Paramount to purchase the company that houses the likes of DC, Harry Potter, and more.

Paramount's $111 billion offer was deemed the "superior proposal". In a statement, Netflix said a deal was "no longer financially attractive," and the streamer had declined to match Paramount's bid.

Netflix, though, was magnanimous. It continued (you can see the full statement below) that it would have "been strong stewards of Warner Bros. iconic brands" and the purchase would have "strengthened the entertainment industry." Despite that, the company still thanked Warner Bros. leadership team.

Looking ahead, Netflix plans to invest $20 billion in "quality films and series" in 2026. Netflix has certainly already teased what's to come this year, with its January K-drama sizzle reel providing plenty of reasons to stick around and watch, even without Warner Bros. properties under its umbrella. It also has a KPop Demon Hunters sequel on the way, as well as upcoming video game movie BioShock.

Paramount's latest offering, meanwhile, is Scream 7 – a sequel that has sunk to a series low on aggregator Rotten Tomatoes after a deluge of middling reviews and fan derision.

Paramount's offer is not a done deal yet, however. California's Attorney General Rob Bonta later tweeted, "These two Hollywood titans have not cleared regulatory scrutiny – the California Department of Justice has an open investigation, and we intend to be vigorous in our review."

For more, check out what to watch on streaming this weekend and our breakdown of the Scream 7 ending.