The Warner Bros. merger puts… Netflix’s rival streamers are in survival mode

This is it Step backa weekly newsletter covering one essential story from the world of technology. For more news about the streaming wars, Follow Emma Roth. Step back It arrives in our subscribers’ inboxes at 8 a.m. ET. Subscribe to Step back here.

From roughly 2019 to 2021, we were in the midst of a streaming renaissance. Paramount Plus, Disney Plus, Apple TV, Peacock and HBO Max all debuted, challenging the dominance of Netflix and other legacy streaming companies like Hulu and Amazon Prime Video. New independent streaming services, such as the cinephile-focused Criterion Channel, emerged during this time.

Subscription prices were still relatively low. Heck, Disney Plus The cost is only $6.99 without advertisements At launch (costs $11.99). with Ads now and $18.99 without). Fierce competition in the industry has also given rise to a large number of original series, e.g Ted Lasso, The Mandalorianand Star Trek: Strange New Worlds, Which makes services other than Netflix actually worth subscribing to.

But things changed around 2022. With the influx of new services into the market, The coronavirus live broadcast subscription boom It collapsed and many of Netflix’s competitors struggled to reach profitability. Studios have reduced orders for series written for adults, while… Cancel others. And even Netflix Which reported a loss of subscribers For the first time in over a decade in April 2022, I felt pressure. Previously ad-free Netflix, Disney Plus, HBO Max and Amazon Prime Video have responded to the crisis by pasting commercials into their streams, as the services… Prices for subscribers have begun to rise and Crack down on password sharing.

While Netflix added another 25 million Subscribers in 2025 – Bringing its global total to 325 million – Signups for other services are starting to rise. Peacocks have been reported recently Add three million subscribers during the last few months of 2025, while Paramount’s subscriber count increased by 1.4 million subscribers during the third quarter. Disney has finally said Disney Plus He added 1.5 million Subscribers in the US and Canada in the three months leading up to November 2025 – but, like Netflix, it stopped reporting These numbers Every quarter.

It’s becoming harder for Netflix’s competitors to attract new subscribers, and many of them are offering exclusive sporting events to attract more subscriptions. Paramount Plus, for example, is now The exclusive home of the UFCwhile NBA fans can only watch Monday night games On Peacock during the 2025 to 2026 season. Also an Apple TV exclusive Streams of Major League Soccer matchesThe same will apply to Formula 1 racing When the 2026 season starts in March.

Advertising has also become an even keel Greater source of income for streamerswhere companies discover the new and the disruptive Ways to bombard you with ads. Data from market research firm Antenna revealed this 46% of people In the US, I subscribe to Disney Plus, Hulu, HBO Max, Netflix, Paramount Plus, Peacock, and Discovery Plus with ad-supported plans.

Netflix’s acquisition of Warner Bros. Worth $82.7 billion, it has a huge impact on the live streaming landscape. Under the deal, Netflix will control content delivered to the 325 million and 128 million people registered for its streaming service and HBO Max, respectively. However, there may be significant overlap, says Netflix co-CEO Ted Sarandos He said during a Feb. 3 antitrust hearing that 80 percent of HBO Max subscribers are also signed up to Netflix.

Now, instead of fighting Netflix alone, competitors will likely have to do it together, whether through new bundles or consolidation. We’ve already seen bundles take off in recent years, which not only attract subscribers by acting as a cheaper alternative to individual subscriptions, but also appear to reduce churn, as subscribers considering canceling a bundle may not want to cut off access to multiple services at once. Data from Antenna revealed that 80 percent of 1.6 million people have registered The Disney Plus, Hulu and HBO Max bundle that launched in 2024 remained subscribed three months later.

More consolidation to come as well. Disney is on track to fully integrate Hulu within the Disney Plus app by the end of this year. Paramount, which has been fighting for months to get Warner Bros. out of the film, is also rumored to be in the works. From Netflix Paramount Plus streaming service integrated with Peacock.

Although it looks like Netflix will emerge as the winner in the streaming race, its merger with Warner Bros. It still faces regulatory hurdles. Earlier this week, the Senate Judiciary’s antitrust subcommittee raised concerns that the takeover could result in higher prices for customers, hurt the theater business, or reduce entertainment jobs. Meanwhile, Senator Eric Schmitt (R-MO) Netflix accused From hosting “The most vigilant content in the history of the world.”

Netflix is ​​currently locked in a battle for viewers’ attention with YouTube, TikTok, and even similar games fortnite. As much as Netflix might try to challenge them By launching a podcastattempt Short-form video feeds, Revamped its user interface on mobileWith the focus on cloud gaming, it will be difficult to compete with free platforms.