Paramount and Warner Bros. Discovery Finalize $110 Billion Merger
Paramount CEO David Ellison finalized a $110 billion merger with Warner Bros. Discovery after a judge approved a settlement with 12 state attorneys general.
Judge Araceli Martínez-Olguín approved a legal settlement between Paramount Skydance and 12 state attorneys general, removing the final obstacle for a $110 billion merger with Warner Bros. Discovery. The agreement, led by California Attorney General Rob Bonta, requires the combined entity to invest $1.5 billion in U.S. film and TV production over five years and release at least 30 films annually. To safeguard journalistic independence, the company must establish an independent oversight board for CNN and CBS News.
David Ellison, CEO of Paramount Skydance, announced a leadership restructuring to manage the integration. Mattel CEO Ynon Kreiz will join as co-CEO on October 5 to oversee operations. Additionally, HBO CEO Casey Bloys will lead the combined Paramount+ and HBO Max streaming operations, replacing streaming chief Cindy Holland, who departed the company on September 30.
In a memo to staff, Holland stated that Ellison is "optimizing for HBO stability" as the companies combine. Ellison praised Holland as an "exceptional" executive whose impact on the company was significant. The settlement avoids a ticking fee that would have cost Paramount over $600 million per quarter. However, the Block the Merger coalition condemned the deal, claiming it fails to protect competition and will damage independent journalism.
