Netflix Downplays Gaming as a Factor in Warner Bros. Acquisition

Despite a counteroffer from **Paramount**, **Netflix** is still moving forward with its nearly $83 billion acquisition deal with **Warner Bros.** The streaming service has even taken out a substantial loan to facilitate the purchase. If all goes well, **Netflix** will gain control over television and film studios like **HBO** and **HBO Max**, as well as game studios. However, it seems that the latter is of least interest to the new owners.

During a Q&A session with investors, **Netflix’s** chief content officer **Gregory Peters** stated that the presence of a gaming division at **Warner Bros.** did not significantly influence their decision to buy the company. “Yes, **WB Games** has certainly seen some success in the gaming industry, but from the very beginning, we didn’t assign much value to it, as its studios are relatively minor in the bigger picture,” Peters explained.

It is worth noting that **WB Games** has faced challenges in recent years. While **Hogwarts Legacy** achieved sales of over 30 million units, making it one of the top-selling single-player games, this success alone cannot sustain the company indefinitely. New releases have either flopped or been canceled—such as the **Wonder Woman** game from the now-defunct **Monolith Productions**. In its November report, **WB Games** reported a 23% drop in revenue due to a lack of new titles.

As **Peters** admitted, **Netflix** has not factored in **Warner Bros.’** gaming division in its strategies. Acquiring **WB Games** would undoubtedly be beneficial for **Netflix’s** gaming arm, but he emphasized that it isn’t regarded as critically important.

**Netflix** once made a grand entrance into the gaming industry, but after an ambitious start, the company has scaled back its aspirations. They have already closed or sold several studios. Most recently, **Netflix** agreed to sell the **Spry Fox** team back to its founders.

As for the battle for **Warner Bros.**, **Paramount** has put forth a new offer of $108.4 billion for the acquisition. **Paramount** aims to acquire all of **Warner Bros.’** assets, including cable channels, which **Netflix** has opted out of. They believe they are providing better terms for shareholders—not only in terms of a higher cash amount but also with an increased likelihood of regulatory approval. According to **Bloomberg**, the rivalry between **Netflix** and **Paramount** could extend for months, yet **Warner Bros.** is not planning to back out of its agreement with **Netflix**.