In a letter to Netflix and Warner Discovery leaders, the Chairman of the Senate Antitrust committee, Sen. Mike Lee (R-UT), has warned that a proposed acquisition of Warner Bros by the tech giant Netflix raises major red flags around competition.
The deal, said Sen. Lee, “appears likely to raise serious antitrust issues, including the risk of substantially lessening competition in streaming markets.”
The Senate Antitrust chairman argued that the acquisition process itself to be a competition matter, saying it “raises concerns about potential abuse of the merger review process,” particularly if an acquirer obtains “competitively sensitive information under the guise of due diligence.”
The process, wrote Sen. Lee, “could operate as a so-called ‘killer non-acquisition,’ effectively weakening a major competitor through the pendency of the
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