WBD Acquisition Thread

[Two Two's]

Wouldn't it make sense for Discovery Global to keep the rights to the CN shows though? They are getting the actual channel.

 

[lowell]

Wouldn't it make sense for Discovery Global to keep the rights to the CN shows though? They are getting the actual channel.

But Streaming & Studios would essentially own the production entity and likely the trademarks as well so the IPs and catalog are also with them.

Global Networks would have a licensing agreement with S&S to use the CN brand and air the shows on the channel.

 

[zakawer2]

But Streaming & Studios would essentially own the production entity and likely the trademarks as well so the IPs and catalog are also with them.

Global Networks would have a licensing agreement with S&S to use the CN brand and air the shows on the channel.

But what if there isn't a perpetual licensing deal between Warner Bros. and Discovery Global?

The continued survival of Cartoon Network in the long term, assuming a Warner Bros. Discovery separation, hinges on there being a perpetual licensing agreement in the first place!

 

[JulianRO]

If Paramount manages to buy WBD, I wouldn't be surprised if they close more CN feeds.

 

[lowell]

But what if there isn't a perpetual licensing deal between Warner Bros. and Discovery Global?

The continued survival of Cartoon Network in the long term, assuming a Warner Bros. Discovery separation, hinges on there being a perpetual licensing agreement in the first place!

That's pretty much the unknown factor here but it's not impossible that the CN brand and production entity outlives the linear channel itself in the long-term if the split scenario continues as is.

The only scenario where everything's intact is when the company's entirely bought with no split.

All is up in the air and we just have to see where it goes.

 

[JulianRO]

Today is the last day of that 7-day window that Netflix gave to Paramount-WBD talks. Let's see how this will continue, and if Paramount will come with another counterbid.

LE: looks like Paramount is not at the first attempt to merge with WBD, in 1993, they considered doing that: Paramount Shares Soar on Rumors of a TCI-Turner Takeover

LE2: Ted Sarandos answers Trump's declarations: Netflix co-CEO responds to Trump's calls to fire Susan Rice: 'This is a business deal, not a political deal'

 

[Insidus]

Wouldn't it make sense for Discovery Global to keep the rights to the CN shows though? They are getting the actual channel.

There's been talks of potential buyers for Discovery Global even with Starz being one I also heard there was someone that wanted to acquire only CNN.

 

[JulianRO]

From what I noticed there are no news regarding the sale of Discovery Global in the last period. Most likely due to the fight between Paramount and Netflix, the first one wants to buy also that part of WBD, that is getting more intense.

 

[JulianRO]

Paramount Is Expected to Raise Price of Warner Bros. Discovery Bid. Will Netflix Walk Away?

David Ellison's Paramount Skydance has a Monday deadline to submit its best and final offer for Warner Bros. Discovery -- and Paramount is expected to come back with an offer over its previous $30/share bid for WBD, angling to outflank Netflix to win the deal.

variety.com

$32/share surely won't be enough to please Zaslav.

 

[Insidus]

Paramount Is Expected to Raise Price of Warner Bros. Discovery Bid. Will Netflix Walk Away?

David Ellison's Paramount Skydance has a Monday deadline to submit its best and final offer for Warner Bros. Discovery -- and Paramount is expected to come back with an offer over its previous $30/share bid for WBD, angling to outflank Netflix to win the deal.

variety.com

$32/share surely won't be enough to please Zaslav.

Best option take the money and run cause many people in the industry are skeptical about this deal. If Warner Bros. wants to hold on to Netflix and that deal crashes they'd be a laughing stock at this point.

 

[JulianRO]

The problem is that Netflix now deals with the DOJ for antitrust issues, so this gives to the shareholders a bigger headache.

 

[FirePuppy]

If Paramount manages to buy WBD, I wouldn't be surprised if they close more CN feeds.

Especially Discovery Family. I want that channel to die anyway because Hasbro's shows, especially My Little Pony: Friendship is Magic, have stayed on that channel for long enough.

Sorry for being rude, but I just want Hasbro to move on and make a Generation 6 of My Little Pony, and if Netflix gets Warner Bros. Discovery, the company will be jailed forever under DFC, we won't get a G6 of MLP, and the franchise will possibly die.

 

[Checkerboard]

We are getting close to Adventure Time on Nickelodeon and Daria on Adult Swim lol. Uncanny valley.

 

[idk_1141]

We are getting close to Adventure Time on Nickelodeon and Daria on Adult Swim lol. Uncanny valley.

If Netflix had fired Susan Rice, they would have had a better chance, but they didn’t.

 

[Moe]

The problem is that Netflix now deals with the DOJ for antitrust issues, so this gives to the shareholders a bigger headache.

Have fun with armies of lawyers from Netflix.

Armies of lawyers for corporation >>> DOJ/FTC

Netflix needs to assure the shareholders that they have a lot of lawyers to deal with DOJ. They can use political as reason for DOJ attempt to derail the merger like AT&T did.

But what if there isn't a perpetual licensing deal between Warner Bros. and Discovery Global?

It is unlikely to find if they have perpetual licensing deal because it is often non-disclosable - not shareable in the public.

It is easy to assume that linear networks would have preexisting syndication deal in place, so licensing is only to cover the brand like CN logo would be obvious.

That's pretty much the unknown factor here but it's not impossible that the CN brand and production entity outlives the linear channel itself in the long-term if the split scenario continues as is.

The only scenario where everything's intact is when the company's entirely bought with no split.

All is up in the air and we just have to see where it goes.

Yeah, it is hard to predict about what CN linear looks like after split is complete.

Especially Discovery Family. I want that channel to die anyway because Hasbro's shows, especially My Little Pony: Friendship is Magic, have stayed on that channel for long enough.

Sorry for being rude, but I just want Hasbro to move on and make a Generation 6 of My Little Pony, and if Netflix gets Warner Bros. Discovery, the company will be jailed forever under DFC, we won't get a G6 of MLP, and the franchise will possibly die.

It won't fix the complicated licensing deal that is created by Hasbro, so DFC is one of puzzle piece and get rid of DFC won't dismantle the complicated deal in place, but hurt others who watch DFC. You need to go further is go after Hasbro entirely.

I'm seriously doubt that new MLP show would goes to DFC as new one would goes to streaming first like Netflix.

If Netflix had fired Susan Rice, they would have had a better chance, but they didn’t.

Netflix isn't going to do political ground, so that what lawyers do to deal with unsavory action from Trump Admin.

Get rid of Susan Rice isn't going to ensure that Netflix would get a better deal, so it is worse off.

 

[idk_1141]

Yeah, it is hard to predict about what CN linear looks like after split is complete.

For me, there are two options. The first is for Cartoon Network and Cartoonito to stay and continue operating, hopefully with better scheduling, especially in the UK and CEE.
The second option is Cartoon Network and Cartoonito to close, with CN shows like Gumball moving to NickToons & Nick, and Cartoonito shows like Grizzy & the Lemmings moving to Nick Jr.
I think people would be happy with either option.
(That is if Paramount buys WBD)

 

[FirePuppy]

It won't fix the complicated licensing deal that is created by Hasbro, so DFC is one of puzzle piece and get rid of DFC won't dismantle the complicated deal in place, but hurt others who watch DFC. You need to go further is go after Hasbro entirely.

I'm seriously doubt that new MLP show would goes to DFC as new one would goes to streaming first like Netflix.

Then why can't Hasbro just do even one announcement regarding its ownership of DFC?!?!?!

This was their last one, from 4 years ago (the same amount of time its predecessor, the Hub Network, ever lasted):

Hasbro Mulls Whether to Offload Discovery Family Channel Stake

The toy maker's CFO Deborah Thomas told analysts the 'My Little Pony' producer was "evaluating" what to do with its 40 percent stake in the joint venture with Discovery.

www.hollywoodreporter.com

I absolutely don't want the My Little Pony franchise to die, nor do I want Hasbro to be jailed forever by Discovery Family. There has to be some kind of announcement, any one, at some point.

 

[Moe]

The first is for Cartoon Network and Cartoonito to stay and continue operating, hopefully with better scheduling, especially in the UK and CEE.

I expect linear networks that is owned by Global Networks (Discovery) to stay open and have same lineup for while, so they can add more variety of shows when they get new syndication deal.

Weigel is doing great with linear networks and they don't need studio, exception of few inhouse shows.

The second option is Cartoon Network and Cartoonito to close, with CN shows like Gumball moving to NickToons & Nick, and Cartoonito shows like Grizzy & the Lemmings moving to Nick Jr.

I'm suspicious of Paramount because they closed several international channels, so if M&A turn out to be worse outcome, they will close more international channels and possibly expand the closure of domestic channels, or Paramount could resort to split the business to sell linear networks off.

Nevertheless, Paramount don't have a solid ground for WBD yet, so it is entirely depends on Netflix because they have favored M&A deal in place. You will start to know if Netflix decides to withdraw.

 

[awinger24]

Paramount Skydance submitted its new bid. WB ditching Netflix has me very worried because there’s more consolidation rather than let WB split with Discovery.

 

[Moe]

Paramount Skydance submitted its new bid. WB ditching Netflix has me very worried because there’s more consolidation rather than let WB split with Discovery.

Did you read Lowell's posts? It is not straightforward as your thought above.

WBD and Netflix signed the M&A deal that Netflix is first and favored, so if Paramount outbid, Netflix is within their rights to match the bid or outbid Paramount, so it will continue until Netflix decides to withdraw.

WBD isn't allowed to ditch Netflix because both signed the M&A deal, so Netflix would have to withdraw and pay breakup cost.

Netflix is still monument, so Paramount isn't able to do anything until Netflix withdraws.

Everything you heard about Paramount is secondary for now.

I'm asking you to not worry until Netflix withdraws, so you will know when there is major news.