Netflix has been hit with a consumer lawsuit seeking to block the online video giant’s planned $72 billion acquisition of Warner Bros Discovery’s studio and streaming businesses.
Also Read | What Netflix’s Warner Bros Discovery deal means for viewers
The proposed class action was filed on Monday by a subscriber to Warner Bros-owned HBO Max who said the proposed deal threatened to reduce competition in the U.S. subscription video-on-demand market.
Some members of Congress have sharply questioned Netflix’s proposal, which is expected to face significant U.S. regulatory scrutiny under antitrust laws. Paramount Skydance on Monday launched a hostile bid worth $108.4 billion for Warner Bros Discovery (WBD) in a challenge to Netflix’s bid.
U.S. federal antitrust laws allow consumers to sue over mergers and acquisitions, separate from any federal regulatory agency lawsuit, though such cases face high legal hurdles.
