Comcast has engaged Goldman Sachs and Morgan Stanley to advise on a potential bid for Warner Bros. Discovery’s studio and streaming operations, as the auction for the debt-laden media conglomerate intensifies. The Philadelphia-based company, which owns NBCUniversal and the European pay-TV operator Sky, is positioning itself to acquire key filmed-entertainment and direct-to-consumer assets that include the Warner Bros. film studio, the Max streaming platform, and a library spanning nearly a century of motion pictures and television series according to a report by Deadline.
The move comes amid a broader restructuring at Warner Bros. Discovery, which last month formally launched a process to explore strategic alternatives after fielding inbound interest from multiple suitors. The company had previously planned to divide into two independent entities by the middle of 2026: one housing the studio and streaming businesses under the Warner Bros. banner, and the other encompassing linear networks such as CNN, TBS, and Discovery Channel under Discovery Global. That separation now appears increasingly likely to be overtaken by a sale of some or all of the company’s components.
Separately, Comcast is holding discussions to purchase the broadcasting division of ITV, Britain’s largest commercial free-to-air broadcaster. The targeted unit includes the family of ITV linear channels and the ad-supported streaming service ITVX, but excludes ITV Studios, the production arm that has drawn its own takeover interest from international players. ITV disclosed additional cost reductions in its Media & Entertainment segment during its latest financial update, reflecting ongoing pressure on traditional television advertising revenue across Europe.
The auction dynamics shifted decisively when the newly combined Paramount Global and Skydance Media submitted three successively higher proposals to acquire Warner Bros. Discovery in its entirety, compelling the board to open a structured bidding process. Amazon MGM Studios has also signaled interest in select assets, while Netflix last week retained boutique investment bank Moelis & Company to evaluate a counter-offer focused on the studio and streaming operations. Warner Bros. Discovery has established a virtual data room where prospective buyers, having executed nondisclosure agreements, can conduct detailed due diligence on financials, content pipelines, and subscriber metrics.
Comcast itself is in the final stages of spinning off most of its cable networks—including USA Network, MSNBC, and CNBC—into a new publicly traded entity named Versant, a transaction expected to close early next year. The separation will leave Comcast with broadband, theme parks, NBC broadcast operations, Peacock streaming, and the Universal film and television studios. Adding Warner Bros. would create a filmed-entertainment powerhouse with annual theatrical output exceeding any single rival, while folding Max into Peacock could accelerate subscriber scale in the competitive streaming wars.
The potential ITV broadcasting acquisition would extend Comcast’s European footprint beyond Sky’s pay-TV dominance into free-to-air and advertising-funded digital video. Sky, acquired for forty billion dollars in 2018, recently divested its German subsidiary to RTL Group for one hundred seventy-five million dollars, streamlining its continental operations. An ITV deal would give Comcast control of a scheduling grid that commands prime-time audiences across the United Kingdom, complementing Sky’s premium sports and entertainment offerings.
Warner Bros. Discovery’s leadership has indicated a preference for clarity on any transaction by the end of the current year, though the original corporate split remains a viable fallback should acceptable bids fail to materialize. The company carries more than forty billion dollars in net debt, a legacy of the 2022 merger between WarnerMedia and Discovery, and faces softening linear ratings alongside intensifying streaming losses. A sale of the studio and streaming segment alone could fetch between fifteen and twenty billion dollars, according to analyst estimates, while a full-company transaction would likely exceed sixty billion dollars including debt assumption.
Bankers expect initial indications of interest within weeks, with formal bids due early in the new year. Regulatory scrutiny will be acute regardless of the winning bidder, given the consolidation already underway in both Hollywood and global streaming. Antitrust authorities in the United States and European Union have signaled heightened vigilance over media mergers that reduce content diversity or raise consumer prices. Comcast’s prior acquisition of Sky navigated similar concerns by committing to maintain editorial independence for Sky News.
The convergence of Comcast, Netflix, Paramount Skydance, and Amazon in the same auction underscores the rapid reconfiguration of the entertainment landscape. Linear television margins continue to erode under cord-cutting pressure, while streaming platforms burn cash in pursuit of profitability. Acquiring established studios with deep IP libraries offers a shortcut to scale, but integrating disparate technology stacks and creative cultures has tripped up previous mega-mergers. Investors will watch closely whether Comcast ultimately pursues the Warner assets, the ITV networks, or both, as the company seeks to bolster growth engines outside its maturing broadband business.
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