Wall Street ended sharply lower on Thursday, with the Nasdaq dragged to its ‍lowest since November by losses in Microsoft, Amazon and other tech heavyweights after Alphabet said it could double capital spending on AI in the race to dominate the ​emerging technology.

US President Donald Trump said Wednesday he will not involve himself in the ongoing battle between Netflix and Paramount Skydance over the proposed acquisition of Warner Bros. Discovery, reversing his earlier statements suggesting he might weigh in.

“I haven’t been involved,” Trump told NBC News. “I must say, I guess I’m considered to be a very strong president. I’ve been called by both sides. It’s the two sides, but I’ve decided I shouldn’t be involved. The Justice Department will handle it.”

According to Reuters, the conflict centers on Netflix’s $82.7 billion bid to acquire Warner Bros. Discovery, including its film studios, HBO, and the HBO Max streaming service.

Paramount Skydance is pursuing a competing, hostile offer, citing a potentially smoother regulatory path.

The rivalry escalated after Warner Bros. repeatedly rejected Paramount’s bids, leaving the Ellison-run company, led by David Ellison—the son of Oracle co-founder and Trump ally Larry Ellison—to push harder for control.

Trump acknowledged the competition in his interview, noting the divide between the bidders.

“There’s a theory that one of the companies is too big and it shouldn’t be allowed to do it, and the other company is saying something else,” he said. “They’re beating the hell out of each other—and there’ll be a winner.”

Donald Trump Steps Back From Netflix-Warner Merger

Last December, Trump had signaled he would weigh in on whether the Netflix-Warner deal should proceed, citing concerns about market concentration.

“They have a very big market share. When they have Warner Bros., that share goes up a lot,” he said at the time. He added that he would consult economists before making a decision.

Netflix’s co-CEO, Ted Sarandos, defended the acquisition before the Senate Judiciary subcommittee on Antitrust, stating the merger would increase competition rather than reduce it.

Lawmakers pressed Netflix on consolidation, labor impacts, and political bias concerns, but Sarandos emphasized that Netflix’s programming serves “all, left, right and center” with no political agenda, NBC News reported.

Trump’s decision to stay out could benefit Netflix, which already has an agreement in place with Warner Bros. Discovery.

The Justice Department’s Antitrust Division, along with regulators abroad including the European Commission, will review the proposed deal. Warner Bros. shareholders could vote on the acquisition as early as March.

Trump has also attracted attention for personal investments related to the deal, having disclosed in January that he purchased up to $2 million in Netflix and Warner Bros. Discovery bonds shortly after Netflix’s offer was announced. The White House maintains that there is no conflict of interest.

Originally published on vcpost.com