Netflix will not prevent TV shows from being featured on competing platforms following the agreement with Warner.

      Netflix has announced that the television segment of Warner Bros. Discovery (WBD) will continue to license its content to competing platforms.

      The streaming giant made this announcement following its agreement to acquire Warner Bros. (WB) studios and its streaming division (as reported by Deadline). The deal values WBD’s studio and streaming assets at $82.7 billion.

      This commitment from Netflix contrasts with common beliefs that the platform might retain all of WBD’s content to prevent it from being available on competitor platforms, aiming for exclusivity. Instead, this current assurance indicates a more open and less monopolistic approach to content.

      This could also address one of the primary criticisms of the Netflix-WB acquisition, that Netflix would dominate the market by obtaining rights to some of the most coveted shows and franchises globally. Nevertheless, it might also be a strategy to appease regulators and competitors concerning their anti-competitive worries.

      By licensing shows to other platforms, alongside streaming them on its own app and website, Netflix should help maintain a diverse streaming ecosystem that thrives on content. In this context, Netflix’s commitment suggests that WB Studios could persist with its current licensing and revenue models rather than transitioning into a Netflix-exclusive format.

      For viewers in the United States, Warner’s shows are expected to remain available on platforms like Apple TV and Hulu, instead of being confined to Netflix. Consequently, they won’t need to cancel other subscriptions to depend solely on Netflix.

      Although there is still some time before the acquisition is finalized, the pledge to non-exclusivity indicates stronger content availability, at least in the short term. However, a significant question remains as to whether Netflix will honor its promise in the long run.

      Further clarity will emerge once the company completes the acquisition and the number of shows that get licensed out (and those that stay exclusive) becomes clear. Additionally, Netflix’s assurance does not clarify the future of WBD’s streaming service, HBO Max. Will it remain standalone, or will Netflix bundle it with its subscription? Answers to these questions will come with time.