Netflix clarifies that it did not consider any contributions from Warner Bros. Games in its $83 billion deal, stating their impact is minimal in the bigger picture.

Netflix appears to be moving forward with its $82.7 billion acquisition of Warner Bros., but Paramount has thrown a wrench in the works with a competing $100.7 billion offer. What’s driving this fierce rivalry among these entertainment giants? Surprisingly, it’s not Warner Bros. Games.

During an investor call, Netflix co-CEO Gregory Peters acknowledged that while Warner Bros. has made strides in the gaming sector, they didn’t factor that into their valuation, as it’s relatively minor in the bigger picture.

It’s a tough pill to swallow, but it’s hard to argue against. Warner Bros. Games’ 2023 action RPG, Hogwarts Legacy, has sold over 30 million copies, making it one of the top-selling single-player games ever. However, even Warner Bros. recognizes that one successful title isn’t enough to keep a studio afloat long-term. In 2025, the company aimed to focus heavily on its most popular franchises—Harry Potter, Game of Thrones, Mortal Kombat, and DC—but so far, results have been underwhelming.

Peters expressed enthusiasm about the potential collaboration, noting that properties like Hogwarts have performed well and could enhance Netflix’s gaming offerings. He mentioned that Netflix has its own lineup of games, varying in quality, and partnering with Warner Bros. would provide access to talented studios and developers. However, he clarified that they haven’t integrated this potential into their financial model.

The launch of Hogwarts Legacy has sparked controversy due to J.K. Rowling’s views on gender identity, raising questions about inclusivity within the Harry Potter fanbase.