Highlights
- HBO Max launches in UK next month at £4.99 per month carrying Harry Potter series and HBO classics.
- Netflix faces rival $108bn bid from Paramount as Warner Bros board reportedly considers reopening talks.
- Sky to lose exclusive HBO programming access as it launches £24 monthly bundle with Netflix and Disney+
The streaming giant plans to tell the Competition and Markets Authority that bundling its service with the soon-to-launch HBO Max will result in lower overall costs for viewers than two separate subscriptions. The move forms a central part of Netflix's defence as regulators scrutinise the deal.
Warner Bros has confirmed HBO Max will launch in the UK next month at a starting price of £4.99 per month, carrying the upcoming Harry Potter television series alongside acclaimed HBO productions.
Ted Sarandos, Netflix's co-chief executive, told a US Senate committee earlier this month that subscribers to both services would receive a "meaningful discount."
Competition concerns mount
Netflix's takeover has triggered global competition concerns, with the US Department of Justice also reviewing whether the deal would grant Netflix monopoly power in the streaming market.
Netflix says it intends to maintain both brands separately rather than merging them into one service, though it remains unclear whether they will operate as separate apps or combined tiers.
The company also faces a rival $108 bn bid from Paramount, controlled by Oracle billionaire Larry Ellison, which argues its approach offers greater certainty.
While Warner Bros has repeatedly rejected Paramount's advances, its board is reportedly considering reopening discussions amid mounting challenges to Netflix's bid, potentially forcing Netflix to increase its offer.
Pricing questions raised
Critics have highlighted that Netflix's monthly ad-free subscription price has risen more than 60 per cent since 2019, from £7.99 to £12.99. Sarandos has refused to rule out further increases, though he argued that subscribers cancelling with "one click" keeps costs in check.
HBO Max will become the new home of TNT Sports in the UK, which holds rights to Premier League and FA Cup matches, at an additional £30.99 monthly charge.
Sky, losing exclusive HBO programming access, is countering with a new £24 monthly bundle combining Netflix, HBO Max, Disney+ and Hayu.
Netflix and Warner Bros declined to comment.
