Prime Minister James Cameron wrote a letter claiming that if Netflix were successful in its bid for Warner Bros. It could cause huge job losses for studios and streaming businesses, change the landscape for theaters and hurt film export businesses.
The “Avatar” filmmaker sent a letter to Sen. Mike Lee, chairman of the Senate antitrust subcommittee, last week, which was recently obtained by CNBC.
“I strongly believe that the proposed sale of Warner Bros. Discovery to Netflix would have dire consequences for the theatrical film business to which I have dedicated my life’s work,” Cameron said in the letter. “Of course, all my films are also shown in the downstream video market, but my first love is cinema.”
Prime Minister Cameron predicted that if a large number of big-budget films like his were signed, “theatres would close, fewer movies would be made, and we would end up in a spiral of job losses.”
“Netflix’s business model is in direct conflict with the theatrical film production and screening business, which employs hundreds of thousands of Americans,” he wrote. “This is therefore in direct conflict with the business model of the film division of Warner Bros., one of the few major film studios in existence.”
“I have heard from actors, directors, and other stakeholders regarding the proposed merger between Netflix and Warner Bros., and I share many of their concerns,” Lee said in a statement. “I look forward to holding a follow-up hearing to further address these issues.”
Prime Minister Cameron also claims that the Netflix-Warners merger will hurt Hollywood movie exports. “The United States may no longer lead the world in automobiles or steel manufacturing, but it’s still the world leader in movies. That’s going to change for the worse.”
