Netflix is getting a bunch of cash from its broken WBD deal. We've got some ideas on what it can do with it.

"David Ellison has turned Paramount from an aging legacy media brand into arguably the biggest threat to streaming juggernaut Netflix in less than a year. But his work is far from done. In fact, it's just beginning."

"When Paramount first started bidding for WBD, it said it was partnering with Saudi Arabia, Qatar, and Abu Dhabi's sovereign wealth funds. Now that it's won, it won't say if they're still involved. A key Paramount backer suggested that if the Gulf money is still involved, it would be good for the deal."

"Netflix might have missed out on WBD—although, was it really that upset?—but it didn't walk away empty-handed. The streamer received $2.8 billion for its trouble, which is a hell of a runner-up prize. To put that in context, Netflix's reported net income last quarter was just over $2.4 billion."

David Ellison has rapidly transformed Paramount from a legacy media brand into a formidable competitor to Netflix in less than a year. Paramount is pursuing acquisition of Warner Bros. Discovery, pending regulatory approval, marking a significant expansion of its media portfolio. The deal involves backing from sovereign wealth funds from Saudi Arabia, Qatar, and Abu Dhabi, though current involvement remains unclear. Netflix, despite losing the WBD bidding war, received $2.8 billion as compensation—equivalent to its previous quarter's net income. Netflix plans to leverage this windfall for content spending, which already totals approximately $17 billion annually. The company is exploring new content opportunities, including professional darts programming.

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