EU looks into Netflix’s business methods

The Wall Street Journal said on Friday that the US Department of Justice is looking into whether Netflix committed anti-competitive behavior in connection with its proposed purchase of Warner Discovery’s studios and streaming service.

The department requested that another entertainment business «describe any other exclusionary conduct by Netflix that could reasonably appear capable of entrenching its market power or monopoly» in a civil subpoena that the WSJ was able to access.

The Department of Justice is also reviewing the proposed acquisition of Paramount, which Warner has asked its shareholders to reject, according to the report.

In the subpoena, the department asked whether any of the deals could harm competition. It also requested information on how previous mergers of studios or distributors have affected competition for creative talent, as well as on differences in talent contracts between studios, the WSJ noted.