Reaction to the Netflix-Warner Bros. deal
LOS ANGELES (NBC, KYMA) - The world's biggest streamer, Netflix, has agreed to buy one of Hollywood's oldest studios for nearly $83 million.
While the bidding war may be over, the regulatory battle is just beginning.
Hollywood has plenty to say about this potential deal, and now the question is: How is this going to impact those who work in the entertainment industry and consumers as well?
When two entertainment giants converge, where does that leave the people who power the entertainment capital of the world?
"That's up in the air," said James Williams, a comedian.
Nearly everyone in Toluca Lake had already heard Netflix plans to buy Warner Bros.
"My first reaction was I don't like that there's going to be big companies owning so much," said Ali Z., a Los Angeles resident.
Some were initially wary while others are cautiously optimistic.
"I would have to know more about what Netflix has to do with this, because I would definitely have concerns but overall I don't love the consolidation of media companies like this," said Grace Grimes, a teacher.
"I do think it's beneficial, I wish them all luck," said Kelli Esposto, who worked at Warner Bros. for 30 years, and has positive views of both Netflix and Warner Bros.
When asked what she would like to see come out of the deal, and what she would think would be an ideal result, Esposto said, "Ideally, we needs more jobs. Rather than downsizing, if we can create more jobs that would be wonderful."
Cameron Chapman works in video game development, and he worries that having fewer media companies green lighting projects means fewer opportunities for creators, and less variety in the productions that get made.
"Before you could go to Warner Brothers, and if they didn't like you could go to Netflix. You could go to different places. If they're all owned by more and more companies, you don't have room to spread your idea," Chapman explained.
Following the deal's announcement, the Writers Guild of America released a statement saying in part, "The outcome would eliminate jobs, push down wages, worsen conditions for all entertainment workers, raise prices for consumers and reduce the volume and diversity of content for all viewers."
The Producers Guild of America also shared their reaction, in a statement, saying in part:
"As we navigate dynamic times of economic and technological change, our industry, together with policymakers, must find a way forward that protects producers' livelihoods and real theatrical distribution, and that fosters creativity, promotes opportunities for workers and artists, empowers consumers with choices, and upholds freedom of speech."
In addition, the Directors Guild of America also released a statement saying they will be "meeting with Netflix to outline our concerns and better understand their vision for the future of the company."
SAG-AFTRA also shared their thoughts on the deal saying in part, "Any decision about SAG-AFTRA's position on this transaction will be made in the best interests of SAG-AFTRA members as the standard and following a complete and thorough analysis of the details of the deal."
