Trump reverses course on Netflix-Paramount fight for Warner Bros. Discovery: ‘It's the two sides, but…'

US President Donald Trump on Wednesday said he will not intervene in the intensifying battle between Netflix and Paramount Skydance over Warner Bros. Discovery, reversing comments late last year that suggested he could personally weigh in on a deal that would reshape the global media industry.

“I haven’t been involved,” Trump told NBC Nightly News anchor Tom Llamas in an exclusive interview. “I must say, I guess I’m considered to be a very strong president. I’ve been called by both sides. It’s the two sides, but I’ve decided I shouldn’t be involved. The Justice Department will handle it.”

Donald Trump says Justice Department will decide the fate of the deal

Pressed on the competing arguments around the transaction, Trump acknowledged that the bidding war had become increasingly hostile and polarised.

“There’s a theory that one of the companies is too big and it shouldn’t be allowed to do it, and the other company is saying something else,” he said. “They’re beating the hell out of each other — and there’ll be a winner.”

The remarks mark a notable shift from Trump’s public posture in December, when he questioned whether regulators should approve a Netflix acquisition of key Warner Bros. Discovery assets.

“They have a very big market share,” Trump said in December. “When they have Warner Bros., that share goes up a lot.” He added that he would consult economists and said, “I’ll be involved in that decision.”

Netflix’s $72 billion Warner Bros. Discovery deal faces rival bid

In December, Netflix announced a $72 billion agreement to acquire Warner Bros. Discovery’s film studio, along with HBO and the HBO Max streaming service — a blockbuster proposal with major implications for streaming competition, content licensing and theatrical production.

Paramount Skydance, meanwhile, pursued a competing bid for the broader Warner Bros. Discovery business, including its cable networks. After Warner Bros. Discovery rejected Paramount’s approaches in favour of Netflix’s offer, Paramount escalated into a hostile takeover attempt.

In response, Netflix amended its proposal into an all-cash bid — a move widely interpreted as designed to deter rival interest and strengthen the certainty of completion.

The Ellison factor: Donald Trump ties to Paramount Skydance draw scrutiny

David Ellison, the son of Larry Ellison, the billionaire co-founder of Oracle and a prominent Trump supporter, leads Paramount Skydance. The Ellisons are the controlling shareholders of Paramount.

Trump has maintained a close relationship with the elder Ellison, a dynamic that has attracted attention as the bidding war has intensified — particularly given Trump’s earlier suggestion he might play a role in the deal’s outcome.

Trump’s decision to step back could be seen as a boost for Netflix, which already has an agreed transaction in place, even though the deal remains subject to antitrust approval.

Antitrust approval still required in the US and Europe

Despite Trump’s comments, the fate of the Netflix-Warner Bros. Discovery deal will rest with regulators.

Warner Bros. Discovery shareholders could vote on Netflix’s proposed acquisition as early as March, according to CNBC, though any deal would still require approval from the Justice Department’s Antitrust Division and regulators abroad, including the European Commission.

Historically, US presidents have rarely intervened directly in antitrust reviews. However, Trump has shown an unusually high willingness to comment publicly on major corporate transactions, including the Netflix-Warner deal and Nippon Steel’s acquisition of U.S. Steel.

Trump’s past attacks on CNN add political edge

Trump’s shifting stance also comes against the backdrop of his repeated criticism of major media groups.

He has frequently attacked Warner-owned CNN and, in the past, called for the network to change ownership — even though CNN is not included in Netflix’s proposed acquisition.

Trump's investments in Netflix and Warner bonds raise questions.

The controversy surrounding the deal has also expanded beyond politics and into Trump’s personal finances.

Trump disclosed in January that he purchased up to $2 million worth of Netflix and Warner Bros. Discovery bonds in the days after Netflix’s deal announcement, according to a financial disclosure form released by the White House.

The filing showed multiple purchases of Netflix- and Warner-related bonds in mid-December; the exact amounts were reported in ranges rather than precise figures.

The White House has previously maintained that there are no conflicts of interest between Trump’s role as president and his personal investments and businesses. Trump has not commented publicly on the bond purchases in relation to the merger.

Capitol Hill scrutiny grows as Netflix CEO defends the merger

Netflix’s proposed acquisition is also facing increased political pressure in Washington.

On Tuesday, Netflix co-CEO Ted Sarandos testified before the Senate Judiciary subcommittee on Antitrust, Competition Policy and Consumer Rights, arguing that the transaction would strengthen, not weaken, competition.

Sarandos said the transaction was “not a typical media merger” and rejected claims that it would limit consumer choice or lead to widespread job losses.

Lawmakers from both parties questioned Sarandos sharply, though their concerns differed. Democrats focused on consolidation and potential labour impacts, while several Republican senators criticised Netflix over what they described as politically biased or “overwhelmingly woke” programming.

Sarandos denied those accusations, telling senators that Netflix has “no political agenda” and that it offers programming “for all, left, right and centre.”

A high-stakes media showdown now heads to regulators

For Netflix, the acquisition would cement control over one of the world’s most valuable entertainment brands — Warner Bros. and HBO — while accelerating its push into premium film and prestige television production.

For Paramount Skydance, the hostile challenge represents a last-ditch effort to prevent a rival from consolidating power across streaming and studio production.