In today’s Digest, we cover Dentsu’s bid to sell a global unit nearing collapse, the UK seeking a copyright reset between AI firms and creators, and Netflix eyeing a cash deal for Warner Bros. and HBO Max.

Dentsu’s bid to sell global unit nears collapse

Dentsu’s efforts to offload its international operations are faltering, as interest from potential buyers and private equity firms dries up, heightening pressure on the Japanese advertising group’s leadership. The company has been exploring a sale of its overseas business since last year, including its UK-based international arm, which generated over USD$4.5bn (£3.33 bn) in net revenues in 2024. Initial discussions with global ad groups and financial sponsors have largely stalled.

Sources familiar with the process said trade buyers and private equity firm Apollo withdrew from negotiations in 2025, leaving Bain Capital as the sole remaining suitor. While Bain reportedly retained some interest, concerns over the business’s performance and complexity appear to have dampened momentum. Dentsu executives have now signalled internally that a sale is unlikely to proceed, effectively bringing the divestment process to a standstill.

UK seeks copyright reset between AI and creators

The UK government is revisiting its approach to copyright reform for AI, signalling a move away from earlier proposals that drew criticism from the creative sector. Technology minister Liz Kendall told lawmakers that ministers are seeking a “reset” to ensure creators are protected while also enabling AI-driven innovation and economic growth. Initial plans, part of Prime Minister Keir Starmer’s drive to position Britain as a global AI leader, would have allowed developers to train AI models on any content they could legally access, unless creators opted out. Officials now acknowledge that approach was flawed.

Kendall said the government’s review, due in March, will focus on guaranteeing fair compensation for creators and preserving their control over original works. She stressed that these two principles had emerged as essential priorities for the creative industries, and would be central to shaping the UK’s future AI copyright framework.

Netflix prepares cash deal for Warner Bros. and HBO Max

Netflix is planning to revise its proposed acquisition of Warner Bros. Discovery’s streaming and studio businesses, shifting to a fully cash-based deal, according to the Wall Street Journal. Under the original agreement, WBD shareholders were to receive USD$23.25 (£17.20) in cash plus USD$4.50 (£3.33) in Netflix stock per share, valuing the transaction at around USD$82.7bn (£61.2 bn).

The revised approach would remove the equity portion entirely, turning the offer into an all-cash bid. Both companies have so far declined to comment publicly, with Netflix deferring inquiries and WBD directing questions back to the streaming giant.