Coalition of Attorneys General Urge the U.S. Department of Justice to Scrutinize Netflix’s Proposed Merger with Warner Brothers

Nebraska Attorney General Mike Hilgers, alongside Montana Attorney General Austin Knudsen, led an 11-State coalition in sending a letter to the U.S. Department of Justice, asking it to thoroughly scrutinize Netflix’s proposed merger with Warner Brothers. If approved, the proposed merger would give Netflix a considerable market share over its competitors, which could lead to higher prices, lower-quality content, and less innovation, all to the detriment of Nebraska consumers.

“I joined my colleagues in urging the U.S. Department of Justice to critically examine Netflix’s proposed merger with Warner Brothers. We have serious concerns with the impact of this proposed merger on Nebraskans, and will work with the DOJ and our state partners and determine the appropriate steps forward to protect Nebraskans from anti-competitive conduct,” said Attorney General Hilgers.

Netflix’s merger with Warner Brothers could be especially disastrous for movie theaters. Warner Brothers regularly distributes movies— especially blockbusters—to theaters. Yet Netflix has derided movie theaters as “outdated” and “outmoded.” If Netflix gains control over Warner Brothers, it could strangle a key source of revenue from theaters. That would hit theaters just as they start to turn the corner from the COVID-19 pandemic and Hollywood strikes.

Whether it’s the trucking industry or movie theaters, Attorney General Hilgers will continue to advocate for free markets that benefit all Nebraskans.

Joining Nebraska Attorney General Hilgers and Montana Attorney General Knudsen on the letter were attorneys general from the following States: Alabama, Alaska, Iowa, Kansas, North Dakota, South Carolina, Tennessee, Utah, and West Virginia.