A new report from PwC argues that recently announced mega-deals for media and entertainment companies highlight a shift in the streaming business to “scale and sustainability” and underscore “ renewed confidence” in the media and telecom industries among both strategic and financial buyers who are deploying capital.
The wide ranging study, which covers dealmaking in the streaming, telecom, gaming, sports and media and entertainment industries, noted that “M&A activity saw a marked uptick in the second half of 2025, driven by more favorable financing conditions, strategic portfolio realignments, and a rejuvenated investor appetite for premium intellectual property.”
For the streaming industry, the PwC analysts argued that “after years of expansion, the streaming market is decisively shifting toward scale and sustainability. Netflix’s acquisition of Warner Bros. Discovery confirms that the stand-alone platform era is ending, with scale becoming the primary determinant of competitiveness.”
The hefty $82.7 billion price tag for the proposed Netflix deal, also “sets a fresh high-water mark for streaming valuations” and is likely to spur “a new wave of portfolio rationalization” that will put “pressure on other players to streamline operations, shed non-core assets, and secure partnerships for content.
The report also found that sports valuations are surging across the ecosystem for teams and other assets. “The $10 billion Los Angeles Lakers sale set a new benchmark,” reinforcing the importance of “sports intellectual property (IP), live rights, and venue infrastructure.”
PwC also reported that “telecom M&A is gaining momentum around network scale and capital efficiency. “Operators are pursuing fiber carve-outs, tower divestitures, and regional consolidation to fund 5G and AI-driven upgrades,” it said. “AT&T’s $5.75 billion acquisition of Lumen’s mass-market fiber business, covering about 1 million existing and 7 million planned locations, exemplifies this trend,” reflecting “the industry’s focus on capital recycling, asset monetization, and partnership-driven expansion to meet surging connectivity demand.”
The full report is available here.
