Trader David Seaburg said this deal is "ridiculous" "doesn't make sense" to buy Time Warner "for a boatload of money" when AT&T could just license content instead. He said it's possible AT&T will see resistance from its core shareholders.
Trader Dan Nathan said "the likelihood of this deal getting done is not particularly great."
This deal makes content more valuable, trader Karen Finerman said. If that holds true, that makes other companies like Netflix and Lionsgate Entertainment look more attractive, though Finerman said Netflix is still very expensive.
Trader Guy Adami said that a Netflix deal would be "ridiculously expensive on any number of metrics." The streaming giant saw its best week since April, gaining 25 percent. He argued that despite investors and analysts suggesting Netflix faces increasing competition in video-on-demand, "it's really hard to replicate what they have built."