DOJ Probes Netflix Monopoly Power in Warner Bros. Deal Review

The U.S. Justice Department is scrutinizing Netflix Inc.’s proposed $72 billion acquisition of Warner Bros. Discovery Inc., probing whether the streamer holds anticompetitive leverage over content creators. A civil investigative demand sent February 20 indicates the review extends beyond standard merger analysis to include potential monopolization violations under the Sherman Act. Regulators are questioning if the deal violates the Clayton or Sherman Acts, a rare step that suggests a lengthy review process. This delay could benefit rival bidder Paramount Skydance Corp., which faces a February 23 deadline for its competing offer. Netflix, which spends roughly $20 billion annually on programming, denies holding monopoly power, asserting it operates in a highly competitive market.