Disaster, catastrophe, nightmare. Hollywood’s creative workforce uses stark language to describe Warner Bros’ collapse. The once-dominant studio now stands on the edge of a breakup or takeover. Netflix and Paramount Skydance battle for control. The industry braces for fresh chaos and deeper job losses.
Warner Bros’ decline lands during an already brutal slowdown. A historic production slump has battered film and television. The studio’s possible loss threatens thousands of jobs. It also removes a key buyer of new film and series projects.
For generations, Warner Bros shaped cinema culture. The studio delivered Casablanca, Goodfellas, Batman, and Harry Potter. Many workers now fear that legacy could fracture beyond repair.
Two bidders and no easy choice for Hollywood
Actors, producers, and crew members describe a climate of fear. Many workers now weigh two futures they both distrust. One option involves a tech giant blamed for weakening cinemas. The other involves billionaire owners with powerful political ties.
A camera assistant described Paramount Skydance chief David Ellison as a right-wing billionaire. Ellison is the son of Oracle co-founder Larry Ellison, a close ally of Donald Trump. The assistant said Netflix usually avoids heavy-handed production control.
Netflix wants Warner Bros’ most valuable assets. The plan includes the 102-year-old studio, HBO, and the vast content archive. Legacy cable channels and sports brands would move to a separate buyer.
Paramount Skydance has launched a $108bn hostile takeover bid. The offer includes backing from Saudi Arabia, Abu Dhabi, and Qatar. It also involves a fund started by Jared Kushner. Critics warn about censorship and political influence.
Trump inflamed tensions by demanding the sale of Warner’s major news network. His remarks deepened fears of government interference.
A crisis rooted in years of disruption
The Warner Bros battle follows years of instability. The pandemic rewired Hollywood’s business model. Film and television production collapsed in 2023. Actor and writer strikes shut down sets across the country.
Studios and streaming platforms flooded the market in 2022. They chased demand after lockdowns ended. The production boom never returned after the strikes. Jobs vanished across the industry.
Many media companies have since closed or merged. David Ellison’s Skydance Media bought Paramount earlier this summer. That deal triggered thousands of layoffs.
When Warner Bros went up for sale, Paramount pushed aggressively to buy it. The studio later announced an agreement with Netflix. Paramount then appealed directly to shareholders. It described its offer as superior.
One executive becomes the focus of anger
Across Hollywood, many workers point to one man. They blame Warner Bros Discovery chief executive David Zaslav. He earned $51.9m last year. During that period, the company lost more than $11bn. Its stock dropped nearly 7%.
An actor said he watched the studio unravel under Zaslav’s leadership. As work dried up, he lost his home. He spoke anonymously to protect future opportunities.
Several workers compared Zaslav to Gordon Gekko from Wall Street. The fictional financier famously celebrated greed.
Zaslav took control in 2022. He led the merger of Discovery and AT&T’s WarnerMedia. The consolidation cut several thousand jobs. Zaslav received a generous compensation package.
A producer on the Warner lot accused him of dismantling the company. The producer said Zaslav chased shareholder gains over history. The company rejected that assessment.
A Warner spokesperson said leadership restored momentum at the studio. The statement cited a strong film slate and a unified long-term DC plan. It also said the streaming service reached profitability.
Survival anxiety spreads across the workforce
For many workers, the buyer now feels almost irrelevant. They focus on survival. Consolidation continues to shrink the industry. Artificial intelligence threatens even more roles.
One actor described waking each morning feeling defeated. He now lives without stable housing. He supports his family through odd jobs and food banks. He spoke anonymously to avoid career damage.
He said he would rather see Netflix buy the studio than foreign-backed investors. Others sharply disagree.
A cinema owner called a Netflix takeover a disaster. The exhibitor said the company openly dismisses theatres. Many US cinemas refuse to screen its films. Streaming-first releases drive that resistance.
A producer who worked with all three companies defended Paramount. He said its films still reach cinemas. He argued Paramount did not undermine theatres.
Netflix has tried to calm those fears. The company said it would preserve Warner Bros’ operations. It promised to support theatrical releases. Many in Hollywood want to believe that pledge.
Sound technician John Evans pointed to Netflix’s restoration of the Egyptian Theatre. The company bought the landmark venue in 2020. It invested $70m to revive the 1922 cinema. The site hosted the world’s first movie premiere.
Evans said the restoration signaled respect for film history. He added that streaming reflects modern viewing habits.
Business continues as uncertainty hangs overhead
On the Warner Bros backlot, tourists pose beside the Friends café set. Studio facades double as New York and Los Angeles streets. Inside offices and writers’ rooms, work continues for those still employed.
A producer said they survived seven mergers. Losing a studio hurts, they said, because it reduces buyers. Still, they insisted strong work always finds a path.
The producer spoke anonymously on the day Paramount announced its hostile bid. Deadlines mattered more than ownership drama. Another bidder would not surprise them.
The producer joked that even Elon Musk could appear. When trillionaires step in, they said, the rules no longer apply.
