Netflix has been granted exclusive distribution rights for Sony films, a major move that could influence how regulators assess the company’s proposed acquisition of Warner Bros.
The deal raises antitrust concerns, particularly around the potential reduction of competition and consumer choice in the streaming industry.
“In addition to consumer streaming, the content deals constitute a separate market in which Netflix is the buyer of content and studios such as Sony are sellers,” former DOJ antitrust attorney Robin Crauthers told Global Competition Review (GCR). “That matters because when you’re looking at antitrust implications of a buyer, that’s a monopsony analysis as opposed to a monopolization analysis.”