James Cameron warns Netflix-Warner deal would be disastrous for theaters

James Cameron warns of "disastrous" Netflix-WBD deal

Director James Cameron has written a letter to Senator Mike Lee warning that a potential sale of Warner Bros. Discovery to Netflix would be "disastrous for the theatrical motion picture business." The letter is dated February 10th.

Cameron, who is based in New Zealand, addressed the letter to the Utah Republican, a Trump loyalist who chairs the Subcommittee on Antitrust, Competitive Policy, and Consumer Rights. The subcommittee recently grilled Netflix co-CEO Ted Sarandos in a hearing focused on culture war issues.

Cameron claims a silent Hollywood majority agrees

In the letter, Cameron states there is a "vast groundswell" of opposition within Hollywood to such a deal. He claims this opposition is mainly silent but significant.

The Oscar-winning director of Avatar and Titanic sarcastically refers to himself as a "humble movie farmer." He uses the letter to assert that his grave concerns about industry consolidation are no joke.

The antitrust subcommittee's recent focus on Netflix

Senator Lee's subcommittee placed Netflix in the political spotlight just days before Cameron's letter. The hearing with Ted Sarandos focused heavily on content and perceived political biases.

Key topics from that hearing included:

• Allegations of anti-conservative bias in Netflix's programming and algorithms.
• Questions about the streamer's market power and influence.
• Debates over content moderation and free speech.

While Cameron is not a Trump supporter, his letter aligns with the subcommittee's recent scrutiny of major tech and media companies. He is leveraging the political moment to amplify his industry-focused concerns.

Why Cameron sees the deal as a threat

Cameron's core argument is that further consolidation harms the traditional movie business. A Netflix acquisition of Warner Bros. Discovery, a 103-year-old studio, would represent a massive shift in industry power.

He implies it would accelerate the decline of the theatrical window and centralize control over major film franchises and distribution. For a director whose films are cinematic events designed for the big screen, this represents an existential threat to his craft.

Warner Bros. Discovery's assets include DC Films, the Wizarding World franchise, HBO, and a vast film library. Combining that with Netflix's dominant streaming platform and original content machine could create an unprecedented media entity.

The bigger fight over industry consolidation

Cameron's letter is part of a broader, high-stakes battle over the future of Hollywood. The industry is divided between traditional theatrical proponents and streaming-first advocates.

Potential outcomes of such a mega-merger could include:

• Fewer major studios producing big-budget theatrical films.
• An accelerated push for day-and-date streaming releases for all content.
• Reduced bargaining power for filmmakers and talent outside the merged entity.

By writing to a key antitrust senator, Cameron is attempting to frame the issue not just as a business story, but as a competition policy problem requiring government intervention. He is arguing that what's good for Netflix is not good for cinema as a whole.