Squawk Pod: “Media’s New Soap Opera: Netflix, Paramount, & Warner Bros. Discovery”

Date: December 17, 2025
Host: CNBC’s Squawk Box Team (Andrew Ross Sorkin, Becky Quick, David Faber)
Featured Guests: Greg Peters (Co-CEO, Netflix), Rich Greenfield (Media Analyst, LightShed Partners), Jim Boyle (CEO, Medline)

Episode Overview

This episode dives deep into the intensifying takeover drama unfolding in the U.S. media sector as Warner Bros. Discovery becomes the contested prize for streaming giants Netflix and Paramount-Skydance. The hosts break down the bid battle, regulatory stakes, financial strategies, and the implications for content, creators, and shareholders. The show also spotlights Medline’s record-breaking IPO and its significance in today’s healthcare landscape.

Key Discussion Points & Insights

1. The Warner Bros. Discovery Takeover Drama

Key Developments

• Netflix Deal Favored: Warner Bros. Discovery’s board officially recommends that shareholders reject a hostile bid from Paramount-Skydance and support the Netflix acquisition instead.
• Paramount’s Offer: CEO David Ellison insists his cash-rich bid is superior, but questions swirl about the real sources and reliability of his financing.
• Shareholder Perspective: Large investors like Mario Gabelli are laser-focused on maximizing the cash payout, advocating for a bidding war to drive up value.
• Political & Regulatory Overhang: Concerns about approval are heightened by President Trump’s personal connections to the deal, Middle Eastern investment involvement, and antitrust considerations from U.S. and E.U. regulators.

Notable Quotes

• Andrew Ross Sorkin on Paramount’s funding:
  “My guess is Paramount doesn't have the money right now and they are out searching for dollars because, as you see, they wouldn't have gone to the Middle east if they had the money.” (04:14)
• Greg Peters (Netflix):
  “Our deal structure is clean. It's certain. We're a scaled company with over $400 billion market cap. We've got strong investment grade balance sheet. This deal offers flexibility for Warner Brothers to do what they're planning on doing.” (01:18 / 19:37)
• Rich Greenfield on Paramount's bid:
  “It really felt like a house of cards when you looked at, like, how all of these different investors, if one pulled out, the whole deal could fall apart ... Is Larry Ellison writing a $75 billion check? And I think, Andrew, the clear answer is no.” (26:41)

2. Exclusive Interview: Greg Peters, Netflix Co-CEO

[13:29–26:14]

Antitrust & Regulatory Risks (13:57, 14:33, 17:24, 18:21, 25:33)

• Netflix is proactively engaging with both U.S. and E.U. regulators, arguing the deal is “pro consumer, pro creator, pro worker, pro growth, pro innovation and pro competition” (14:33).
• Emphasizes the complementary nature of Netflix and HBO audiences:
  “More than 75% of HBO Max members also subscribe to Netflix. This creates an opportunity to offer consumers a more tailored, better optimized subscription plan...” (15:40).
• Downplays the threat to HBO’s legacy, promising to “double down on that promise ... We want to see HBO thrive rather than the opposite.” (16:44)

Shareholder Demands & Offer Structure (19:37)

• Shares that Netflix feels they've tabled a compelling and certainty-packed deal, but remain disciplined:
  “We are dispassionate when it comes to the fact if somebody's willing to bid more, then we say, okay, Godspeed, and we'll exercise the same discipline here.” (22:36)

Rationale Behind the Bid (20:47)

• Peters asserts that the acquisition is a calculated risk for accelerated growth and global content reach:
  “We like our organic growth path ... But we saw as we got into looking at this opportunity, basically the opportunity to accelerate that ... we unlock more value for both consumers and for creators.” (20:47)
• On risks to Netflix’s valuation/multiple:
  “I think we'll prove it, just like we proved it every previous quarter that we can actually make value out of this and we'll show our shareholders how we're doing that.” (22:02)

Hollywood & Creative Community Concerns (23:41)

• Peters promises continuity:
  “We will maintain Warner Brothers operations. That means we're 100% committed to releasing Warner Brothers films in theaters with industry standard windows.” (23:41)
• Denies rumors of internal disagreement at the top of Netflix over the deal:
  “We did the work and really the work speaks for itself ... there is a tremendous amount of value creation in this kind of deal for our members, the people that we serve, for the creative community as well, we look at it and we say, you know, we're excited both to move forward.” (24:45)

On Timeline & Commitment (25:44)

• “We've been looking at this as a 12 to 18 month process. ... we think that we've got a very clear message. Regulators will do their work as they should do.” (25:44)
• Peters vows to defend the deal in court if necessary. (26:05)

3. Media Analyst Rich Greenfield’s Perspective

[26:20–34:41]

• Strongly favors the Netflix deal over Paramount’s, citing better clarity, certainty on financing, and the ability to spin off underperforming segments (like cable networks):
  “If you go with the Paramount bid, you get stuck owning. You can't spin off the cable networks ... certainty of getting the spin done in the ... over the summer of 2026 is a very important part of this deal.” (26:41)
• Criticism of the structure and reliability of Paramount’s bid:
  “Most of this was being financed through debt. ... Most of the Cash is coming from the Middle east and even the Ellison piece could be syndicated out to others, God knows who.” (29:51)
• On regulatory odds:
  “You can't compare a horizontal two studios to cable network groups merging with ... Netflix ... doesn't have the assets that are being acquired and they're not even buying the cable network piece. So these are very different, you know, regulatory analysis.” (32:35)
• Predicts the process will drag on as Paramount hunts for funds and possibly tries to repackage its offer. (34:07)

4. Medline’s Blockbuster IPO & the State of Health Care

[37:06–42:57]

• Medline’s IPO raises $6.3 billion—biggest U.S. IPO since Rivian in 2021 and a major event amid a tepid market for new offerings.
• CEO Jim Boyle on why go public now:
  “We've been a private company for 58 years, with 58 years of consecutive growth. We just feel like this is the right time for us to kind of expand our voice.” (37:28)
• Rationale: An opportunity to “be the Costco of health care” via a membership-like, vertically integrated model and proprietary products, boasting a 99% customer retention rate. (38:42)
• Addresses PE-driven debt: Primary IPO proceeds will reduce debt, targeting a net debt/EBITDA under 3. (40:47)
• Healthcare industry’s structural shifts: Reimbursement cuts, movement of care outside hospitals, labor crunches—all are tailwinds and ongoing challenges for Medline and its customers. (41:10)

Notable Quotes & Memorable Moments

• Becky Quick translating shareholder logic:
  “Show me the money.” (12:38)
• David Faber sums up the plot:
  “So the only thing I was going to mention that to me is so interesting about this is that ultimately this thing will get decided by shareholders simply probably on just dollars and cents.” (12:20)
• Greg Peters (Netflix) on HBO:
  “We think there's a tremendous value in HBO and it's an amazing brand. It says prestige TV. We're excited to double down on that promise.” (16:44)
• Rich Greenfield, on the reliability of the Paramount bid:
  “Is Larry Ellison writing a $75 billion check? And I think, Andrew, the clear answer is no.” (26:41)
• Jim Boyle (Medline) introducing his company:
  “We are the largest company you've never heard of and we happen to be everywhere, which is a pretty interesting thing.” (37:28)

Segment Timestamps (HH:MM)

• Intro/Main Story Setup: 00:30–03:03
• Deal Breakdown & Political/Regulatory Discussion: 03:03–07:23
• Greg Peters (Netflix) Full Interview: 13:29–26:14
• Rich Greenfield (LightShed Partners) Perspective: 26:20–34:41
• Medline IPO & CEO Jim Boyle Interview: 37:06–42:57

Wrap-up/Outlook

• The Warner Bros. Discovery saga is far from over, with multiple parties looking to reshape the U.S. streaming and entertainment landscape—and shareholder greed driving the plot twists.
• Regulatory uncertainty, financing doubts around Paramount, and persistent concerns about the future of content creation all loom large.
• Medline’s IPO provides a rare bright spot for public market debuts in a tough environment and sheds light on transformation within the healthcare supply chain.

This summary distills the strategic, financial, and regulatory stakes behind the latest media mega-deal. Whether you’re an investor, media buff, or industry insider, the episode delivers an inside look at how money, politics, and creative ambition are colliding to shape the next era of entertainment and streaming.