Former U.S. President Donald Trump has indicated that he intends to remain neutral in the ongoing corporate clash between major entertainment giants, marking a noticeable shift from his earlier remarks. Trump says he will not get involved in the dispute between Netflix and Paramount regarding Warner Bros, signaling that federal regulators will ultimately oversee the outcome of the deal.
In an exclusive interview with NBC Nightly News anchor Tom Llamas on Wednesday, Trump clarified his position, stating that he has chosen to distance himself from the negotiations. He acknowledged that representatives from both sides have reached out to him but emphasized that he believes it is appropriate for the Department of Justice to handle the matter. Trump remarked that despite being viewed as a strong political figure, he has decided not to influence the process.
A Fierce Corporate Showdown
When questioned about the conflicting arguments surrounding the potential transaction, Trump noted the intense rivalry between the companies. He highlighted that one party argues the merger would create an overly dominant media entity, while the other side disputes that claim. According to Trump, the corporate fight has become highly competitive, and eventually one company will emerge victorious.
NBC announced that additional portions of Llamas’ interview with Trump will air during its Super Bowl Sunday coverage.
Details of the Proposed Acquisition
The dispute began in December when Netflix revealed plans for a massive $72 billion acquisition of Warner Bros. Discovery’s film studio, along with its premium HBO network and the HBO Max streaming platform. Meanwhile, Paramount Skydance pursued a competing proposal targeting the broader Warner Bros. Discovery business, including its cable television operations.
Paramount Skydance is led by David Ellison, whose father, Oracle co-founder Larry Ellison, is a billionaire businessman and long-time supporter of Trump. The Ellison family holds controlling shares in Paramount, and Trump’s close association with Larry Ellison has drawn public attention as the bidding contest escalated.
After Warner Bros. Discovery rejected Paramount’s proposal and leaned toward Netflix’s offer, Paramount Skydance intensified its efforts by launching a hostile takeover attempt. In response, Netflix modified its proposal into an all-cash bid, widely interpreted as a strategic move to secure its position and discourage competing offers.
Trump’s Earlier Concerns Over Market Dominance
Although Trump is now stepping back, he previously expressed concerns about the potential merger. In December, he questioned whether combining Netflix with Warner Bros. Discovery would create excessive market concentration. He pointed out that Netflix already holds a significant share of the entertainment market and warned that acquiring Warner Bros. could expand its dominance. At the time, Trump suggested he might consult economists and participate in the decision-making process.
His decision to withdraw from direct involvement may benefit Netflix, which currently holds the leading bid. The development also comes amid Trump’s history of criticizing major media corporations, including repeated public criticism of CNN, which is owned by Warner Bros. Discovery but is not part of Netflix’s acquisition proposal.
Regulatory and Shareholder Hurdles Ahead
Warner Bros. Discovery shareholders could vote on Netflix’s takeover proposal as early as March, according to reports from CNBC. However, the transaction must still clear regulatory scrutiny, including review by the U.S. Justice Department’s Antitrust Division and international authorities such as the European Commission.
Historically, U.S. presidents have rarely taken direct roles in antitrust decisions. However, Trump has been more vocal than many of his predecessors when commenting on major corporate mergers, including this media deal and Nippon Steel’s attempted purchase of U.S. Steel.
Questions Around Financial Interests
Trump’s personal financial activity related to the companies has also drawn attention. In January, financial disclosures revealed that he purchased bonds valued at up to $2 million tied to both Netflix and Warner Bros. Discovery shortly after Netflix announced its acquisition plans. The filings showed several bond purchases in mid-December, although the exact amounts were reported within ranges rather than precise totals.
The White House has maintained that Trump’s investment portfolio does not create conflicts of interest with his presidential responsibilities. Trump has not publicly addressed the bond transactions in connection with the proposed merger.
Growing Political Scrutiny
Separately, the acquisition has faced increasing examination from lawmakers in Washington. Netflix co-CEO Ted Sarandos testified before the Senate Judiciary subcommittee on Antitrust, Competition Policy, and Consumer Rights earlier this week. Sarandos argued that the acquisition would enhance competition in the entertainment industry rather than restrict it.
He emphasized that the transaction differs from traditional media mergers and dismissed concerns that it would reduce consumer choice or lead to large-scale job losses. However, lawmakers from both political parties raised concerns. Democratic senators focused on industry consolidation and potential labor impacts, while several Republican lawmakers criticized Netflix for what they described as politically biased or overly progressive content.
Sarandos responded by stating that Netflix does not promote any political ideology and aims to provide diverse programming designed to appeal to audiences across the political spectrum.
