Warner Bros. Discovery's poor second quarter came two years after it was formed by a merger between WarnerMedia and Discovery
Warner Bros. spends more than $20 billion annually on content around the globe AFP

Warner Bros. Discovery is planning a significant expansion into Southern Nevada, pledging an annual investment of $500 million toward film productions over the next 17 years through a film studio partnership with University of Nevada, Las Vegas (UNLV) and real estate firm Birtcher Development.

The ambitious project, however, hinges on the approval of a substantial increase in Nevada's film tax credit program by state lawmakers next year, according to Associated Press.

Warner Bros. Studios chief operating officer Simon Robinson, in an interview with The Nevada Independent, announced the company's commitment to a minimum $8.5 billion investment over 17 years.

"The important thing for us is the ability to effectively become a producer with our own site in and around Las Vegas," Robinson said.

"We're committed to both the bill and the state. We're going to be around a long time. Hopefully, they can make this happen."

The proposed investment follows closely on the heels of another legislative push by Assembly Majority Leader Sandra Jauregui (D-Las Vegas) to establish a Las Vegas-based production studio and workforce training program in partnership with Sony Pictures.

Jauregui's plan, like the Warner Bros. proposal, depends on the expansion of Nevada's film tax credits, a proposal that faltered in the 2023 legislative session despite high-profile support from actors like Mark Wahlberg and Jeremy Renner.

Nevada currently caps its film tax credits at $10 million annually, with a maximum of $6 million per production.

The proposed legislation initially sought to increase this to $190 million per year, but State Senator Roberta Lange (D-Las Vegas) now plans to revise the figure to $95 million annually over 17 years.

These credits would be contingent on private companies first establishing infrastructure, with production processes subject to state prequalification and auditing before credits are issued.

If the tax credit expansion is approved, Warner Bros. plans to collaborate with UNLV and Birtcher Development for a production facility that will be known as "Warner Bros. Studios Nevada" on a 34-acre campus.

The partnership would see the establishment of a "Nevada Media and Technology Lab" at UNLV's Harry Reid Research and Technology Park, which would serve as a center for film and television education and vocational training. The proposed "Warner Bros. Studios Nevada" would be the main production facility.

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