Netflix CEO Ted Sarandos has issued an official response to criticism from legendary director James Cameron regarding the planned purchase of Warner Bros. Discovery. In a letter to the U.S. Senate, Cameron called the merger a "disaster" for cinemas. Sarandos accused the creator of "Avatar" of participating in a disinformation campaign by rival Paramount and assured that Netflix plans to increase the number of theatrical releases, not reduce them.

Harsh Criticism from Cameron

Director James Cameron warned the U.S. Senate that the merger would lead to job losses and the collapse of traditional cinemas.

Allegations of Disinformation

Ted Sarandos claims that Cameron's arguments are part of Paramount's strategy to block the transaction.

Vision of a Theatrical Netflix

Netflix declares that after acquiring Warner, it will release more titles into wide theatrical distribution than currently.

The conflict surrounding the nearly $83 billion offer to acquire Warner Bros. Discovery by Netflix has intensified following the intervention of James Cameron. The famous director sent a letter to Senator Mike Lee, chairman of the antitrust subcommittee, warning of a drastic decline in theatrical releases and mass layoffs in Hollywood. Cameron, a supporter of the competing Paramount Skydance offer, argues that the dominance of the streaming giant will destroy the traditional film distribution model. In response, Ted Sarandos, co-CEO of Netflix, publicly accused the director of spreading disinformation. In a letter to the same senator, Sarandos emphasized that Netflix intends to use Warner's resources to increase its presence in cinemas, which would benefit the entire industry. The platform's head noted that concerns about the marginalization of the big screen are unfounded and that the company is determined to maintain Warner's position as a global leader in film technology. Since the 1920s, Warner Bros. studio has been one of the pillars of the so-called Hollywood Big Five, shaping global cinema with productions such as "Casablanca" and "The Matrix." The current battle for its acquisition is the biggest shake-up in the entertainment industry since Disney's purchase of 21st Century Fox in 2019. Currently, the Warner Bros. Discovery board is analyzing both proposals: Netflix's financial offer and the competing merger with Paramount, which is supported by creators fearing the "algorithmization" of cinema. However, Sarandos remains confident, declaring that acquiring Warner is the "best long-term outcome" for shareholders of both companies. The industry is watching this process with concern, as it could forever change the way we consume high-budget film productions. „I am surprised and disappointed that James has chosen to become part of Paramount's disinformation campaign.” — Ted Sarandos „The proposed sale of Warner Bros. Discovery to Netflix will be catastrophic for the theatrical film business.” — James Cameron

Mentioned People

  • Ted Sarandos — Co-chief executive officer (co-CEO) of Netflix.
  • James Cameron — Famous film director, creator of Titanic and Avatar, among others.
  • Mike Lee — American senator from Utah, dealing with antitrust matters.