Netflix may drastically cut theatrical exclusivity after Warner takeover

Fans of major franchises like Harry Potter, The Lord of the Rings and the DC Universe are feeling uneasy as Warner Bros. Discovery (WBD) undergoes a potential change in ownership. For a brief time, it appeared that Netflix had secured the deal. On December 5, 2025, Netflix and WBD agreed on a takeover worth around $82.7 billion, covering Warner’s film and TV studios, including HBO and HBO Max. However, the deal still requires antitrust approval and remains unfinalized. At the same time, Paramount Skydance has submitted a higher bid, which Warner is currently reviewing – leaving the final outcome still open.

If Netflix secures the deal, it could have a major impact on the future of the movie theater industry. According to industry insiders, the company is considering a significant cut to the traditional theatrical window. New films would reportedly run exclusively in cinemas for just 17 days before hitting Netflix’s streaming platform – a sharp drop from the usual 45 days. Theater operators warn that such a move could undermine their business by cutting off key revenue beyond the opening weekend. At the same time, many fans fear that major Warner franchises might be used mainly to drive streaming subscriptions, with cinema playing a lesser role.

It’s worth noting that the 17-day theatrical window has not been officially confirmed. So far, Netflix continues to speak publicly only of “industry-standard windows.” How the streaming giant would ultimately handle theatrical releases if it takes over Warner remains uncertain. Recently, however, Netflix has shown a growing interest in theatrical distribution – on its own terms. At the end of the year, for example, the Stranger Things finale was screened in U.S. cinemas in partnership with AMC, suggesting that the big screen can still be a profitable option under the right circumstances.

However, instead of traditional ticket sales, Netflix used a different model: entry was granted through required concession vouchers, with all proceeds going directly to the theaters. The aim was to create a basis for so-called actor residuals – contractually agreed payments to actors, writers or directors when a film or series is redistributed or monetized across different platforms, such as theaters, television or streaming.