u/LinkRules5321

Netflix just lost one of the biggest media companies in the world because someone was being spoiled and didn’t appreciate the assets his dad went to h*ll & back to get him in time for a Christmas gift. 

And now Netflix is considering what its own future is.  

Ted Sarandos seems open to the theatrical market, while Dan Lin seems against it. (Despite wanting to produce theatrical fare for other companies like the 2025 Lilo & Stitch (the 3rd worst Disney remake)) 

So, it seems that we have 2 sides to Netflix. The enemy of Hollywood and the ally of Hollywood.

The one they embrace is fully based on the performance of Narnia.  

• If Narnia flops, they remain the enemy. They do nothing but build Netflix up with production deals exclusive to them, IP acquisitions (now exclusive to Netflix like Dahl), and Pay-1 deals with Sony (And maybe Paramount if they don’t get their act together). While mocking theaters all day long saying they're outdated.
• But if Narnia succeeds, Netflix could open their eyes to new businesses and methods of distribution.

 

The question is how?

Theaters will not trust Netflix’s own films in theaters. So, they likely know the only way in is buying in..... 

Today, we will discuss what media company Netflix could acquire in the future to boost growth, profits, and IP and what each company would do to Netflix on a global scale.  

From least likely to most likely-  

Disney 

https://preview.redd.it/34uzvcda9ekh1.png?width=1000&format=png&auto=webp&s=20109275a7c5c0b51df7784b9e979cbc359cfcfd

They have considered bids for Disney and Fox in the past, according to previous reports.

But if they even TRIED, they’d be considered a monopoly/anti-trusted on so many levels (yet if Disney had the same amount of content but never started Disney+ would likely have been allowed for some dumb reason)  

Sony Pictures Entertainment 

https://preview.redd.it/nbw0bnxb9ekh1.png?width=1000&format=png&auto=webp&s=381685f07b36a0525a3a3e4aeadddd81a3c00341

While Sony is against selling Sony Pictures fully, I do think Netflix buying 25% stake in Sony Pictures US and Sony Music could do well for them.

That way Sony doesn't worry about managing a streaming service while also having a home for their films.

Sony keeps PlayStation, the US and International networks, Crunchyroll, and the Japanese Sony Pictures + still has full control over the US studio (However Netflix will co-produce several new major shows from the Sony library) and licenses TV Shows across all platforms, while Netflix gets to use the theatrical distribution arm and Pay-1 on all Sony movies.  

The new Columbia Pictures Entertainment JV also takes over the Netflix Games studio as Columbia Interactive. Sony is also taken out of all company units in exchange for the neutral Columbia banner outside Sony Music (Sony Animation becomes Imageworks Animation) 

Amazon MGM Studios 

No. I don’t even need to explain.  

Paramount if they lose WB 

Ellison’s ego is too much to give up and will just buy another studio instead.

Also, they lack major IP outside Nickelodeon and would likely see Netflix sell the networks and Paramount+ service (minus the content) to Bryon Allen.  

Lionsgate 

While Netflix denied plans to buy them, they said the same for WB. If a bidding war begins for them. I think Netflix will make at least one bid.

They will likely have to wait for the Starz deal to expire though. 

Netflix could also use Lionsgate to satisfy other bidders like Sony and Apollo (A distribution deal with Legendary and an international distribution deal with Sony Pictures International) to avoid them from bidding perhaps. 

With Netflix as its parent, Lionsgate will obtain a major family content arm, funding to make more 100+ pictures (and more films in general), and a better streamer than Starz ever will be.  

NBCUniversal (Favorite AU tied with Lionsgate) 

All credit for the image goes to IngloriousBIG

I think this is the 2nd most likely option as NBCU has IP more or less similar to WB.  

Of course, Netflix can’t legally buy NBCU until 2029. 

BUT.... if NBCUniversal just sold its studio, streaming, and parks arm to Netflix while still existing to hold NBC and the European cable brands, they can pull it off without tax issues.

The only other thing to worry about is if they spin-off Netflix Europe or whatever the merged Sky/ITV service is called. Netflix gets the studio, streamer, and parks they want without any “declining legacy assets”  

While NBC then focuses on third-party scripted content only and the Telemundo Studios IP and licenses its sports/news rights until 2029, where I see Amazon MGM Studios and Allen Media making bids for what is left of NBC. 

And finally, the most likely, Warner Bros. (With or without Paramount*)* 

Netflix will likely try their best to get WB back for cheaper if or when Paramount loses WB or sells itself with it due to bankruptcy. 

In exchange, I see Netflix having to sell HBO to someone like NBCUniversal and agree to license select content to their service.  

But who knows? 

• Maybe Netflix launches its own distribution company (a Red Envelope revival perhaps?) 
• Sells because they can’t get their stock up (despite still being the most successful SVOD out there) to Apple, Microsoft, or some other tech firm. (Who else can afford it?)
• Or just continue doing what it's doing now, nothing... 
• But what do you think? 
• Should Netflix be open to theaters? 
• Will Narnia flop or succeed? 
• What should Netflix acquire (if anything at all)? 
• What company should I do next?

 

In our timeline, Redstone merged CBS back into Viacom (against everyone’s wishes), and what do you know? 

• It made both companies worse than before, taking one good company down with a bad one... 
• Had to sell several assets they had for years (Simon & Schuster for example is one of them) 
• And then was sold to a company that ruined CBS and now is trying to buy Warner Bros. instead of trying to fix the Viacom assets he bought.

 

But it didn’t have to be this way. CBS had a vision independently and could’ve been thriving with that vision.  

So, what if.... Redstone had the balls to let CBS be independent and not f**k them over? 

I do think it would end up much better for the creative industry if so.....

So let's see. We'll start with.....

2018: 

CBS: 

• Under Les Moonre, his “Hail Mary” scheme works, taking National Amusements out of CBS. Likely meaning he isn’t “exposed coincidentally during Redstone’s attempted removal of anyone against her merger plans” 
• Verizon re-enters a deal to take over as main shareholder of CBS.

 

2019: 

CBS: 

• Verizon/Les gets their way and buys CBS + full voting rights but leaves CBS public to avoid full exposure unlike AT&T. 
• CBS begins talking with Lionsgate on the purchase of Starz, which due to pricing and value becomes the entire company. CBS finishes the merger on December 4, 2019, and folds CBS Films into Lionsgate, and makes CBS Studios the sister studio to Lionsgate Television Studio under the Lionsgate Entertainment division.

  

Viacom: 

• Stuck with little cash for growth, sells the film rights to Star Trek and Mission Impossible to Lionsgate (who pays for some of it by transferring select shows based on Paramount films from the CBS library back to them). Disney also holds talks on Indiana Jones' distribution rights. Wall Street believes that Viacom is looking to liquidate all assets with these movements, which it denies. 
• Pluto TV is reevaluated as the digital versions of all Viacom networks (including simulcasting premieres and being able to stream for a few days afterwords) 
• Viacom keeps major deals with Netflix intact due to not owning a major streamer. The deal is even extended with Netflix getting a Pay-1 Paramount deal. Paramount Television, MTV, and Nick all plan to license content for the major streamers (meaning shows like Rugrats and Big Nate are make for other services and potentially last longer)

 

2020: 
CBS Corp: 

• Debmar-Mercury takes over Syndication of the entire company 
• It is them (through Lionsgate) that wins Miramax. 
• TV Guide is sold, while Pop is positioned as a third-party platform for outside content to enter the CBS system. 
• CNET is sold as well. 
• CBS announces plans to merge the Starz, Showtime, and the CBS AA services into one service (Called CBS Access) by early 2021. Lionsgate successfully survives COVID thanks to CBS owning 3 streamers worth to put its films on for the time being.

 

Viacom: 

• Gets hit way harder by COVID. Likely lay-offs and a bigger push to digital. 
• National Amusements decides to take Viacom private until it can figure itself out. National Amusements becomes the movie theater arm of a restructured Viacom.

 

2021: 

CBS Corp: 

• Launches CBS Access on March 4, 2021, integrating all assets they own into it. As CBS was more interested in Sony, renews its Pay-1 deal with the studio (Disney still obtains the Pay-2 window). But while a WAY more successful streamer than the real-life counterpart, realizes some things they lack: Family Content and global film distribution scale. 
• Seeing Hasbro in its weakest spot following the acquisition of eOne, launches a hostile takeover of the entire company (not before Hasbro still sells the eOne Music business much to Les’ disappointment) 
• Buys the Weinstein library and stake in Spyglass as with our timeline. 
• Lionsgate Premiere and Grindstone are changed into labels for CBS Access content, to let Lionsgate focus on theatrical films.

 

Viacom: 

• Awesomeness TV fully takes over TeenNick, re-branding it under the Awesomeness banner. The new Awesomeness TV network would co-air streaming projects from Viacom focused on teens (TV-PG - TV-MA as well as Nick Tween Show reruns). This goes horribly, with it becoming the equivalent of Universal Kids at Viacom. 
• BET Studios is still launched, but as a label of MTV Studios for BET+ Content.  
• Paramount’s film slate is shrunk exponentially to focus on being a major TV studio.

   

2022: 

CBS Corp: 

• CW is sold but keeps a streaming deal. 
• Completes its acquisition of Hasbro.  
• eOne’s distribution is kept alive and absorbs Lionsgate’s international assets to become the international division of the company. (While Lionsgate absorbs US and globally focused operations like the family divisions) 
• Hasbro Entertainment is launched as a family and animation unit like Nickelodeon Movies. Taking over Transformers and other films and produces original and franchise content for Lionsgate/CBS once Paramount’s existing contracts expire in 2023 (Lionsgate gets a transitional credit on Dungeons and Dragons, Rise of The Beasts, and Transformers One.) 
• Eye Animation (the TV Animation studio for both CBS and Lionsgate) absorbs eOne’s TV Animation (including Peppa Pig), and plans to continue licensing select kids’ shows to cable for the time being. 
• Hasbro takes over the consumer products arm of CBS including S&S Publishing. 
• Hasbro sells its Discovery Family stake way earlier. 
• CBS Access grows with Spyglass, Hasbro, and the massive eOne library being the main reasons.

 

Viacom: 

• Profits decline, decline, and decline. Only a fool would invest in this company.

 

2023: 

CBS Corp: 

• Hasbro Entertainment begins development at Lionsgate on several original and franchise animated properties (Peppa Pig Perfect Holiday for example is properly announced for 2026) 
• Lionsgate now has more global distribution while retaining room for pre-selling content globally. Lionsgate is also releasing more films and has a bigger box-office than Paramount, leaving discussions on what qualifies as a major studio. 
• In late 2023, Verizon discusses spinning-off CBS Corp but sees its ownership as flexible. So, it decides against it.

 

Viacom: 

• BEGS Netflix to buy them but rejects it due to being too small IP wise and has 0 interest in owning cable networks. 
• Viacom18 and Rainbow are still sold off, but Viacom will likely try to squeeze every penny from it, saying they are worth more. 
• BET/VH1 is given a much bigger sale effort, until it is scrapped in favor of a sale for the whole company.

 

2024: 

CBS Corp: 

• A potential acquisition of Peacock is discussed. But is blocked by FCC due to sports and news rights. 
• Verizon shrinks its equity stake in CBS but retains full voting control. 
• CBS relaunches Wizards Coast as the gaming arm of the company, taking over Avion Hill as well. Board games and Video games

Viacom: 

• Paramount Television is folded into MTV Entertainment Studios. 
• Noggin is sold to Netflix, who uses the game tech to integrate the Nick games into its gaming strategy (Noggin is also made a hub on Netflix) 
• Exactly like our timeline, Skydance buys Viacom after a deal with Sony/Apollo is scrapped. And thanks to the lack of CBS, get the deal done late 2024 to early 2025.  
• This combined Viacom Skydance (not real name), however is private with stakes owned by Oracle.

 

2025: 

CBS Corp: 

• Lionsgate joins the MPA, giving it official major status as the 6^(th) major (and Amazon the 7^(th) in 2026). 
• Last.fm is sold to a consortium of Apple, Spotify, and YT Music. 
• The Free Press never merges with CBS News, meaning CBS is once again reliable.

 

Viacom: 

• MTV and Skydance still merge to revive Paramount Television Studios. Nickelodeon Productions and BET Studios are also folded into Paramount Television later in the year. 
• 15-20 films a year are still made at Paramount Pictures for better scale in Hollywood. 
• David Ellison realizes that without CBS and Showtime, every network owned by Viacom is essentially crap. 
• A deal is reached with Bryon Allen to acquire Viacom Media Networks, Pluto TV, and BET+. Paramount retains the studios and IP (and can use the brands on them until the end of 2026). Viacom Inc. becomes Paramount Entertainment Group (With a Skydance byline)  
• In 2025, Paramount buys the Nelvana brand and IP from a bankrupt Corus. (Which can legally be allowed as they aren’t buying the Canadian studio that shut down, they are buying the name and IP directly from Corus). In exchange, Corus gets a minority stake to allow content on its networks. Nelvana becomes the name for a merged Nick and MTV TV Animation Studio as Allen Media owns the Nick name. (Nick Movies is merged into Paramount Animation) 
• Due to Paramount being stuck in a multi-year deal with Netflix, can’t bid for WB due to their HBO Max service. In fact, I see Ellison being a hypocrite and saying “Our great partnership with Netflix allows us to be flexible while providing us the greatest streaming home of all time” or some shareholder crap. Paramount instead forced to pursue growth in other areas (Paramount Games Studio for example)  
• WB splits as planned. Netflix successfully wins Warner Bros S&S. But is required to sell HBO and HBO Max to NBCU and to license select content to the studio.

 

2026: 

CBS Corp: 

• Discusses a bid for Discovery for its unscripted businesses, but doesn’t want the cable brands, so it is hesitant to do so. 
• Hasbro Legends is launched as a FAST Channel on CBS Access. 
• Renews it’s Sony deal

 

Viacom: 

• Allen Media buys Buzzfeed still to merge with Pluto TV and Local Now. Freestyle Releasing is re-positioned to acquire content exclusively for the combined Buzzfeed and BET+ as the official studio arm of all of Allen's operations.
• Paramount inherits Oracle’s Tik Tok stake, allowing cross-promotion between the 2 companies. 
• National Amusements gets a much cleaner spin-off and/or sale 
• Attempts a bid for THQ Nordic and Dark Horse from Embracer and Fellowship. Seeing them as important assets to have for the studio (In hopes of going public again). This will be their current M&A battle going on to this day. Will it work? Who knows?

 

But this is the finished result of both Viacom and CBS following 2019. 

This is how Viacom turned out.... 

https://preview.redd.it/d9s0k5a5q1kh1.png?width=1683&format=png&auto=webp&s=4670e3a90f50818a831a62a896b7f33d083b820d

https://preview.redd.it/adygart6q1kh1.png?width=3278&format=png&auto=webp&s=c2c633ffafcde696305bd2d4c8e3d3ebef9bc769

And this is how CBS turned out.... 

https://preview.redd.it/l68zylsvp1kh1.png?width=4439&format=png&auto=webp&s=9ed782011615ad992620148bccf7f12de057aff1

https://preview.redd.it/c08mij4yp1kh1.png?width=2436&format=png&auto=webp&s=042be16e9169fefd50305a385fc0a97b4c643086

Pretty different I see......

And maybe better for everyone (consumers and shareholders alike (shocking I know....)). 

I guess this goes to show that sometimes, billionaires have no idea what’s best for their own companies, or one merger can ruin both companies (and others) at hand (AOL was trying to warn you Redstone). 

But what do you think? 

• Would they have been better off separately or was it best they were together? 
• Would Verizon potentially spin off its voting shares in CBS Corp in the future when Comcast does it with NBCU? 
• Can Bryon Allen fix the Viacom Networks? 
• Would Skydance do better with a pure-play Paramount or succeed in buying anything from the Embracer Group?  
• Should I discuss the other version where CBS buys Sony Pictures as they wanted to before Sony rejected the offer? (They are the COLUMBIA Broadcast System after all)
• What other What Ifs.... should I do next?

 

We all know how the CBS/Viacom split and re-merger went.... 

• Viacom failed, CBS thrived 
• They both ended up worse than before in 2019 
• Then was sold to the infamous Skydance label, who is trying to buy another studio.......

 

But if the split was done a little differently.... then maybe, just maybe, they wouldn’t have been stuck like this.... 

Today I will be seeing the AU where CBS kept Paramount Pictures to see what the definitively better timeline is 

Let’s Begin. 

CBS Corp 

• They keep Paramount Pictures, which makes more films due to not absorbing DreamWorks (including the CBS Films catalog), Nickelodeon movie rights are sold back to New Viacom to avoid a Star Trek level rights dispute again. The Paramount Parks are also retained as they have the studio for it, with a licensing deal with Viacom. 
• DiC Entertainment is acquired by Paramount Pictures as its TV family animation arm to replace Nick and to expand its KEWlopolis deal (which when it shuts down sees DiC become a 3^(rd) party supplier of content for Nick, Disney, CN, and The Hub). DiC also helps with the launch of Paramount Animation in 2011 instead of DWA. 
• In 2009, as CBS is financially stable unlike Viacom when asked to buy them, buys Marvel Entertainment and sees CBS stock grow like Disney’s did when the MCU caught on. Paramount allows UNiversal to release Hulk content. 
• CBS-All Access is a much bigger service than before. 
• In 2014, Lionsgate would set CBS-Paramount as its international distribution partner for English speaking territories instead of Vice-versa like in our timeline. 
• In 2016, Spider-Man still enters the MCU, untouched. 
• In 2016, at Sega weakest point, is acquired by CBS. Finished in 2017, makes them one of the biggest gaming companies ever. 
• IN 2018, due to replacing everything Viacom gave them, no longer merges with them, instead selling to Verizon 
• Under Verizon, CBS-All Access buys Starz (and places it under Showtime Networks), which means they get both Sony and Lionsgate pay-1 deals (And is willing to renew Sony Pictures) 
• CBS-All Access becomes Paramount+; however, CBS Corp keeps its name. Paramount+ doesn’t force Marvel to make TV Shows focus on the other studios at the company like DiC to produce content for it. 
• Due to not owning the X-Men, doesn’t create the disastrous multiverse saga to try to merge them into it. 
• Simon and Schuster and Marvel merge into one company 
• Thanks to the various smart acquisitions, CBS is too big for Skydance to even CONSIDER buying them. 
• Paramount is actually profitable for once. 
• Verizon would likely spin off CBS in 2026-2027 to better get with Comcast. 
• By the end... CBS becomes one of the biggest media companies in the world.

 

https://preview.redd.it/72okwgg0jljh1.png?width=4979&format=png&auto=webp&s=4d4936cd85fd80fc524e67787de5dc58de6d58b7

Viacom 

• To replace Paramount Viacom buys DreamWorks, which also makes more films without Paramount. 
• Spielberg stays at the company as they aren’t fighting with Paramount for attention. DreamWorks Television handles all non-cable Television. 
• DreamWorks expands distribution to the UK, Oceania, and Canada. With Universal Pictures handling International Distribution and DVD Rights. 
• DreamWorks retains rights to its entire library. 
• DreamWorks releases theatrical content from Nick, MTV, and BET. 
• DreamWorks Animation is reacquired in 2010; Nickelodeon Movies is folded into DWA (although Nick Productions still collabs on film adaptations) and sees DreamWorks Pictures take the 2010 DreamWorks Animation logo (and later the 2019 one) 
• Classic Media is a division of Nickelodeon starting in 2012. 
• Amblin Entertainment becomes a division of DreamWorks in 2015 but will still collab with other studios. Amblin Television is shutdown 
• Katzenburg keeps running DWA post-2016. 
• Awesomeness TV takes over TeenNick (which also rebrands into Awesomeness) in 2014. 
• Spike TV becomes the DreamWorks Network instead, but other than that remains the same. 
• National Amusements in 2019, following the sale of CBS Corp, merges into Viacom as its theatre arm. Viacom goes private to fix itself for the time being.  
• Pluto TV is still acquired to give them some digital assets but instead retains a major licensing deal with Hulu. 
• Skydance successfully buys Viacom in 2025, merging MTV, Nick, and BET Studios into one giant DreamWorks Television. Skydance Games becomes DreamWorks Game Studio. Due to the Hulu licensing deal cannot place its content into a new streamer, so David focuses on his OWN company instead of buying another studio immediately (or buying a stake in Hulu). Viacom keeps DreamWorks and Skydance separate to avoid losing major talent (although select distribution is shared).

 

https://preview.redd.it/v4u5y1dzjljh1.png?width=3516&format=png&auto=webp&s=08774fca0a8de0311e556cc54c3a323294dd6d99

Effects on Other Companies: 

• Hasbro

 

Has to share Transformers with 2 studios still. 

• Universal

 

Revamps Universal Animation Studios to make more Kids/adult animated shows (Which replaces DWATV in this AU) for Hulu, other networks, and preschool shows for Sprout, and acquires more animated films from other studios (Reel FX, DNEG, for example). Buys the Hulu stakes from other studios. 

• Disney

 

Due to losing Marvel, no longer has the energy to buy Lucasfilm (Which goes to Fox). Bob Iger still foolishly shuts down Touchstone (much earlier due to no DreamWorks deal), so instead buys Warner Bros. after AT&T is blocked (One major studio would likely still be sold sadly). CW, CNN, and the Turner Sports package are spun off as one CW network group (Potentially sold to AT&T and later maybe Viacom in 2026). New Line Cinema is shut down, but WB still makes 8-10 theatrical films (Due to not being a multi-label studio anymore). Warner Animation Group also survives due to outsourcing animation being cheaper to retain (and is mainly franchise focused (but collabs with Pixar on select projects). Disney Television Animation is kept separate from WB Animation (Which absorbs Williams Street & CN Studios though). Discovery is acquired by Disney through A&E in 2022. ABC Studios is folded into Warner Bros. Televsion. A&E is sold in 2026 successfully. HBO/HBO Max replaces Disney+ in this AU. Warner Bros. Games moves to Disney Experiences (And back to WB in 2026) 

Warner Bros. absorbs all of Disney Entertainment into it's structure.

• 21st Century Fox (Rebranded Fox Corp in 2019)

 

Fox successfully buys Lucasfilm in 2012. A better Star Wars sequel trilogy releases along with Indiana Jones 5 coming out sooner. FoxNext/LucasArts merges to form Fox Games Group and remains a major game player. Lucasfilm Animation rebrands to be the secondary animation studio of Fox as the film arm of Industrial Light & Magic. Fox retains its Locksmith Animation deal from 2017 and keeps Blue Sky alive post-2017. Fox Television Animation returns to family shows with The Clone Wars and Star Wars Detours helping. In 2019, due to being a bigger studio doesn’t split from Fox (New Fox Entertainment never exists, instead 20^(th) make the content for Fox still). Meaning 20th benefits from Fox’s AVOD growth, selling Hulu to NBCU and buying Tubi (Fox's Pay-1 window service), Bento Box (And the Gumby franchise), Marvista, TMZ, and maybe Roku. Fox 2000 never shuts down (Which means 3000 Pictures never exists) and is instead repositioned to make Tubi/streaming content and select theatricals (absorbing Zero-Day Fox) 

https://preview.redd.it/qgaq0827jljh1.png?width=3580&format=png&auto=webp&s=bee65f5778ca08b47f71bff529841991a81860fe

• Wildbrain

 

Same but minus the DiC library (Or is acquired by CBS/DiC itself) 

• SDS

 

The DVD JV is between Universal and Fox instead. 

• Sony Pictures-

 

Buys Paws Inc. and Rovio instead. But still produces the Garfield show with Nick. 

• Miramax-

 

Sold to Lionsgate instead (beIN gets a stake in the combined studio). Miramax Animation (2019 version) becomes Lionsgate Family. With Spyglass, this unites the 2 Weinstein studios once more.  

• Lionsgate-

 

Sells Starz in 2019 to CBS as said before; Lionsgate then waits for a buyer. And waits...... 

But overall, it just comes to show that one asset can create a butterfly effect for literally everything else. Making the industry look different with one move. 

But what do you think? 

• Did I exaggerate? 
• Do you see this ending worse than our AU? 
• Have any other AU M&A ideas?