Netflix says it didn't factor "any value" from Hogwarts Legacy publisher Warner Bros. gaming arm into $83 billion deal: "They're relatively minor compared to the grand scheme of things"

Netflix is seemingly on track to complete its $82.7 billion Warner Bros. acquisition, though Paramount has recently reacted with a competitive $100.7 billion bid. What makes these film industry behemoths so eager to knock each other down? Well, it certainly isn't Warner Bros. Games.

In fact, Netflix co-CEO Gregory Peters said during an investor call (originally reported by PocketGamer.biz) that, sure, Warner Bros. had done some "great work in the game space," but "we actually didn't attribute any value to that from the get-go because they're relatively minor compared to the grand scheme of things."

It's harsh, but hard to deny. With over 30 million units sold, Warner Bros. Games' 2023 ARPG Hogwarts Legacy is one of the best-selling single-player titles in history – but even Warner Bros. knows a single hit isn't enough to sustain a studio for years. In 2025, the publisher decided to triple down on its biggest, most mainstream IP – Harry Potter, Game of Thrones, Mortal Kombat, and DC – but it hasn't yet had anything to show for itself.

"Now we are super excited because some of those properties that they've built, Hogwarts is a great example of that, have been done quite well, and we think that we can incorporate that into what we're offering," Peters continued. Netflix has its own slate of games (of ranging quality) so teaming up with Warner Bros. will at least give it access to the "great studios and great folks working there. So we think that there's definitely an opportunity there. But just to be clear, we haven't built that into our deal model."

The release of Hogwarts Legacy has been the subject of criticism and debate due to J.K. Rowling's public stance on gender identity, which continues to challenge the inclusivity at the heart of the Harry Potter community. Here is our explainer on the Hogwarts Legacy controversy.