On Streaming Service Acquisition, Government Should Keep its Thumb Off the Scale

On December 5th, 2025, Netflix, Inc. announced a definitive agreement under which it would acquire Warner Bros., including properties such as Warner Bros.′ film studio and the streaming service HBO Max. Soon after, Paramount Skydance Corporation submitted its own offer to acquire Warner Bros. Discovery.

Unsurprisingly, far-left politicians like Senator Elizabeth Warren (D-Mass.) have preemptively criticized the proposed acquisition and are urging the federal government to block a deal between Netflix and existing studios.

In response, Grover Norquist, President of Americans for Tax Reform, released the following statement urging regulators and legislators to allow the free market to operate without undue
interference:

“Anti-trust law exists to protect the competitive marketplace, not as a cudgel for politically favored businesses to prevent their competitors from doing things, nor does it exist for self-promoting politicians to punish their political enemies. Unfortunately, far-left Democrats like Elizabeth Warren are trying to politicize the federal government to block companies they don’t like from doing business. The federal government should keep its thumb off the scale and let the free-market do its work. Congress should focus on unwinding the damage caused by the Biden administration’s wanton abuse of antitrust regulation to harass and intimidate private businesses for political gain. We need deregulation and economic growth. Not reregulation and the government picking winners and losers.” 

The video streaming market is highly competitive, with traditional film studios competing with other studios, TV and film streaming platforms, as well as video content creators on social media platforms. The majority of young adult viewers now spend more time viewing social media content than streaming content, demonstrating the high level of competition for watch time among consumers.

The proposed acquisition of Warner Bros. Discovery, Inc. by an existing studio would provide great benefits to consumers. This combined library would allow consumers to view even more of their favorite shows without needing to purchase multiple streaming service subscriptions, providing greater benefits to subscribers.

Americans for Tax Reform urges Congress, the Federal Trade Commission (FTC), and the Department of Justice (DOJ) to follow free-market principles and allow for an acquisition to take place without undue government interference.

Regulators should avoid following the Biden administration’s “big is bad” philosophy and instead adhere to the consumer welfare standard, the basis of U.S. antitrust law which focuses on the potential benefits to consumers from proposed merger and acquisition activity.