Netflix isn’t looking to buy its way into legacy media anytime soon — including a potential buy of Warner Bros. Discovery. During the company’s third-quarter earnings call Tuesday, Netflix co-CEO Ted Sarandos was quick to shoot down speculation that the streaming giant might be in play for a merger or acquisition following Warner Bros. Discovery’s announcement on Tuesday that it’s reviewing “strategic alternatives,” including a possible sale.
“We’ve been very clear in the past that we have no interest in owning legacy media networks,” Sarandos said. “There’s no change there.”
His comments came just hours after Warner Bros. Discovery confirmed it had received unsolicited interest from multiple parties and was exploring its options. That immediately reignited speculation about which media giants might try to combine or break apart next.
Reports quickly floated potential suitors ranging from Paramount Skydance to Comcast and even Netflix itself.
But Sarandos’s tone made clear that Netflix is not looking to become a traditional media conglomerate. While the company has occasionally been linked to possible partnerships or library acquisitions, its long-term strategy continues to center on internal growth and streaming innovation rather than legacy asset deals.
“It’s true that historically, we have been more builders than buyers,” Sarandos said. “We think we have plenty of runway for growth without fundamentally changing that playbook.”
The comments came as Netflix stock fell roughly 6% in after-hours trading following an earnings miss on both revenue and profit. Still, the company’s forward guidance was strong. Netflix expects better-than-anticipated results in the current quarter and reaffirmed its full-year revenue outlook at the high end of its $44.8 billion to $45.2 billion range.
Sarandos said Netflix will continue to evaluate opportunities but will stay selective. Each potential deal, he noted, is weighed against strict criteria — whether it enhances the company’s entertainment portfolio, aligns with its strategic goals, or delivers more value than building the same capabilities internally.
“Nothing is a must-have for us to meet the goals we have for the business,” he said. “We can be and we will be choosy.”
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