Netflix boss defends bid for Warner Bros as Paramount deadline looms

The boss of Netflix has told the BBC its takeover bid for Warner Bros is better than a rival one from Paramount because it would expand the business and the industry.

Netflix co-chief executive Ted Sarandos told the Today programme its bid was focused on "growth", adding: "We're buying a movie studio and a distribution entity that we don't currently have - we'll be adding to the market."

Last week, Warner Bros gave Paramount's until the end of Monday to submit a "best and final" offer ahead of the shareholder vote on the Netflix deal next month.

Netflix's bid is for Warner Bros' studio and streaming networks - including brands such as Warner Bros, New Line Cinema, and HBO Max - leaving the rest of the firm to be spun off as an independent company.

However, Paramount's bid is for the entire company, including the firm's traditional pay-TV networks, which are seen as a declining business.

Sarandos said Netflix's bid would contribute to growth because it would be "buying assets we don't currently have".

"This industry would be much smaller under that [Paramount] ownership than it would be under Netflix," he added.

Sarandos said Paramount "has committed that they're going to cut $6bn out of the business right away", and then would "need to cut an additional $16bn".

Paramount has previously said its deal, which values the entire company at $108.4bn, gives shareholders more certainty than Netflix's plan. It was also offered to pay the $2.8bn break-up fee Warner Bros has agreed to pay Netflix if that deal falls through.

In a wide-ranging interview, Sarandos batted away threats from President Trump who said that if Netflix did not fire Democratic board member Susan Rice, the streaming giant would "face the consequences".

Sarandos said: "This is a business deal, it's not a political deal.

"He [Trump] likes to do a lot of things on social media," he added.

The BBC has contacted Paramount for comment.