Lead singer Anthony Kiedis broke down the song as being about the highs and lows of show business in Los Angeles, saying quote:

There’s a couple of songs in this record that sorta of share slightly common ground lyrically. And this one is a little bit— It’s about our town, and the kind of madness that goes on in this town with show business, and the kinda expectations in the seedy underbelly and also the creative side, the magical side, and then the commercial side. This big weird animal called show business, which is sometimes wonderful, exciting, thrilling, vibrance and just wow, and other times it’s just… so low, so lifeless. It kinda speaks to that, like what’s this town is made of. This character is so beautiful and perfect to begin with, but she sort of feels the need to be validated by that world. And really, you know, she’s already been validated by the “big amigo” in the sky.

Also, it’s important to note that “Warlocks” was one of the last songs the late musician Billy Preston played on (specifically, the clavinet) before his ultimate passing in June 2006, due to the complications of a kidney failure. Preston is considered to represent the music the Chili Peppers have been embracing during the years, mainly in the form of rock and funk, hence the lots of artists and bands references in this song’s lyrics.