James Cameron Warns Netflix-Warner Bros. Deal Could Hurt Film Industry & Jobs

LOS ANGELES – James Cameron, the acclaimed director behind blockbusters like “Avatar” and “Titanic,” has publicly warned that Netflix’s proposed acquisition of Warner Bros. Discovery poses a significant threat to the future of movie theaters and the broader film industry. In a letter to Senator Mike Lee, chair of the Senate subcommittee on antitrust, Cameron detailed his concerns about the potential impact on jobs, film production, and the U.S.’s position as a global leader in filmmaking.

The letter, dated February 10, 2026, and recently obtained by CNBC, outlines Cameron’s belief that the deal would be “disastrous for the theatrical motion picture business.” Cameron, whose career is deeply rooted in the cinematic experience, emphasized that while his films also find audiences on streaming platforms, “my first love is the cinema.”

Cameron’s primary concern centers on Netflix’s business model, which he argues is fundamentally incompatible with the traditional film production and exhibition ecosystem. He predicts that a Netflix-owned Warner Bros. Would lead to a contraction in the number of large-scale film productions, resulting in theater closures and widespread job losses. “Theaters will close. Fewer films will be made. The job losses will spiral,” he wrote.

The director highlighted the significant employment figures tied to the theatrical film industry, stating that Netflix’s model “is directly at odds with the theatrical film production and exhibition business, which employs hundreds of thousands of Americans.” He further argued that the acquisition would weaken one of the few remaining major movie studios capable of consistently delivering large-budget films.

Cameron’s warning comes amid growing scrutiny of the proposed merger from lawmakers and the Justice Department, who are reportedly focused on the potential impact on competition and the availability of films in theaters. Concerns have been amplified by previous statements from Netflix CEO Ted Sarandos, who has described movie theaters as an “outdated concept” and an “outmoded idea.”

Beyond the domestic impact, Cameron also expressed concern about the potential erosion of the U.S.’s global standing in the film industry. “The U.S. May no longer lead in auto or steel manufacturing, but it is still the world leader in movies. That will change for the worse,” he asserted, suggesting that a shift away from theatrical releases could diminish the influence of American filmmaking on the international stage.

Senator Mike Lee acknowledged receiving outreach from various industry stakeholders regarding the proposed merger. In a statement, Lee indicated he shares many of the concerns raised and plans to hold a follow-up hearing to further examine the issues at hand.

The proposed acquisition of Warner Bros. Discovery by Netflix, valued at nearly $83 billion according to reports from December 6, 2025, has already sent ripples through Hollywood, prompting reactions from labor unions and theater owners. The deal, which beat out bids from Paramount Skydance and Comcast, represents a significant shift in the media landscape and raises fundamental questions about the future of film distribution, and exhibition.

As the Justice Department continues its investigation into the potential impact on movie theaters and film availability, James Cameron’s vocal opposition adds another layer of complexity to the debate, underscoring the high stakes involved in this landmark media transaction.