Paramount Skydance 'Emerges Victorious', Finally Wins Settlement for Warner Bros Takeover (yahoo.com)
- Reference: 0185733242
- News link: https://entertainment.slashdot.org/story/26/09/21/226252/paramount-skydance-emerges-victorious-finally-wins-settlement-for-warner-bros-takeover
- Source link: https://finance.yahoo.com/media-advertising/articles/paramount-settles-california-other-states-145344915.html
The victory comes "after settling with a California-led group of US states and a Hollywood writers union, paving the way for one of the largest media mergers in history."
> Paramount agreed to abide by temporary film quotas and a news oversight committee, avoiding a forced sale of cable assets such as CNN or any of its lucrative film franchises... The Writers Guild of America settled its parallel case against Paramount, while saying it still believes the deal will damage the industry. The states' settlement forced the union to "contend with the reality of forging ahead alone, with no backing from government enforcers" in a complex case that would have cost millions of dollars...
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> Paramount promised in the state settlement to bring more film production to the US — spending at least $300 million more each year in domestic production — and adhere to US theatrical release quotas for five years. The company will produce 30 movies in each of the first two years of the deal, and 32 movies in each of the following three years, Bonta said. Each year, at least four of those films must be independent films and at least 20% must be blockbusters. If it falls below that threshold, it will pay $30 million per film, most of it into funds to support workers. Paramount also promised not to raise rates on theater operators for three years.
The article notes that California attorney general Rob Bonta still said "I don't think these two companies should merge" at a press conference announcing the settlement, "but that's not something that we are focused on with our resolution here." He call their agreement "a strong antitrust outcome."
And [2]Politico notes that Bonta acknowledged at the press conference that "Some of you who may be watching this may have wanted a different outcome. I understand that."
> But he argued he'd reached a settlement capable of "providing more film production that protects Hollywood workers and their livelihoods, that places guardrails allowing for robust cable negotiations, that protects competition and creates more choice for consumers about what this merger could mean for the industry." It "resolves the antitrust concerns at the heart of our lawsuit against the company and Warner Brothers," he said...
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> The agreement came as a disappointment to opponents of the transaction, including the Block the Merger Coalition, which cast the settlement as a sweetheart deal for Paramount Chief Executive David Ellison and his father, Oracle Co-Founder Larry Ellison, who is [3]financially backstopping the acquisition. "This is a bad deal for the future of film, entertainment, independent journalism, and a strong democracy in this country," the coalition said in a statement. "We are disappointed and angry that the interests of average Americans have been trampled to benefit oligarch billionaires....."
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> The $111 billion deal allows Paramount to combine its namesake streaming service with HBO Max, creating a new offering with about 200 million subscribers. That would help Paramount compete against companies such as Netflix, which boasts more than 325 million subscribers worldwide.
[1] https://finance.yahoo.com/media-advertising/articles/paramount-settles-california-other-states-145344915.html
[2] https://www.politico.com/news/2026/09/21/paramount-states-to-settle-antitrust-litigation-01086145
[3] https://www.politico.com/news/2026/09/16/paramount-nashville-office-space-01080717
NO one thinks this merger is a good idea.... (Score:3, Insightful)
Except the CEOs and Trump's FTC. And once done, the damage is done and can't be unwound. Republicans - take note. When this destroys the film industry... it's your fault. Again.
Re:NO one thinks this merger is a good idea.... (Score:5, Informative)
The film industry in California is being destroyed by their policies (and grandstanding AG's). They won't have to worry too much about Paramount's compliance with their laws. Paramount [1]is seriously considering moving to Nashville. [msn.com] So that'll solve a lot of problems but this FTC fight may still be a problem if it happens after 2028. Personally, I just want better products (movies) from them and it does appear moving out of California would help them achieve that.
[1] https://www.msn.com/en-us/money/general/paramount-is-looking-for-nashville-office-space-as-it-weighs-leaving-la/ar-AA2cnxhy
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Paramount probably won't move as a condition of the settlement.
Re:NO one thinks this merger is a good idea.... (Score:4, Insightful)
They can't move to Nashville because the actors won't move with them. They can incorporate in Nashville but who the fuck cares anymore? If you're not going to pay taxes in my state why would I care whether you incorporate in my state?
Every single time we suggest that companies stop screwing us over we inevitably get told that they will just take all the money and leave. Then they don't do that because the only reason they're here in the first place is some other thing like well, California is a nice place to live and the people who they need to work for them want to live in california, and then they don't leave even though they threatened to.
If there is a cheaper place with less regulation that a company can move to and still have the same resources available they're always going to do that immediately and no amount of appeasement is going to keep them around. More importantly if they're not contributing anything to your community and they are just taking let them leave.
There is plenty of other things people can do in California that are productive besides make movies. But again that's all a moot point because they're not going anywhere no matter how many threats they make.
I mean not physically. Like I said they might try to incorporate in another state in order to do bad things to people but who cares again because they are still going to have to hire Californians because the people they want to do the work want to live in California.
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No, you're simply wishing for what you want. Thing is, you can only abuse folks for so long. Actors and actresses can leave too. New ones can be found. Nobody is irreplaceable.
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We've danced this Charleston multiple times. The wealthy say they're going to leave a nice place if they don't get to live there and get everything they want for free and people's tax the wealthy and then the wealthy don't leave because of course they don't. This is happened over and over and over again.
It's not wishful thinking it's history and common Sense. If you want such a goddamn pussy you would stop letting the wealthy push you around and stop worshiping people who hate you like Elon Musk and Don
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"Paramount said it will spend $1.5 billion over five years, or $300 million a year â" on top of what it spent in 2025 on filming domestically. According to the state attorneys general, currently only about 5% of Paramount's production is in the U.S."
"Paramount has said it would look for ways to save some $6 billion through job cuts in âoeduplicative operationsâ when the deal goes through."
[1]https://www.barchart.com/story... [barchart.com]
Most production is already gone from California, for a while now. Yeah,
[1] https://www.barchart.com/story/news/4719227/what-to-know-about-paramount-s-settlement-and-its-impact-on-movies
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I'm sure others will disagree with your sentiment, but I remember working for a CA tech company in TX. One day we had a company wide meeting in TX where the CEO informed us the company was closing TX plants and laying off people. Someone in the crowd asked why and how that made sense since TX had a much lower tax base and cost of living. The CEO just replied (and I'm paraphrasing here), "I just don't think I can get enough employees to move to TX and leave that CA lifestyle."
Re: (Score:3)
What a great way to shit on working folks. The film industry employs more than just writers and actors. Don't forget about how many skilled trades are involved like carpenters and electricians. Then you have makeup and costume designers and even the craft services people providing food.
Doubt you really give a shit. (Score:2)
One would suppose they could relocate with the company and find themselves in better digs. Also, you're not going to convince me a far left partisan like you would, realistically, care about "working people". You and your pals are busy calling them Trumpers and trying to take their rights, increase their fuel costs, and otherwise tax && regulate their hobbies or interests (big hunter/outdoorsman there, ArchieBunker?). Trump's done a better job wrecking the people you hate anyway, buddy. Calm down. ;
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> You and your pals are busy calling them Trumpers and trying to take their rights, increase their fuel costs,
Dear sir, have you checked diesel prices and who the current president is lately?
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All true, but it's all doomed anyway. AI is going to do it in from both ends. Up front it's going to take the jobs, and in the back it's going to take away the jobs and therefore the disposable income from the people who would see the films. This is just hurrying things up a little bit. California Uber Alles! We're just as greedy here as people are anywhere else.
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Don't forget the crew who handle the most bountiful Hollywood product: the honey wagon drivers.
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Lol, what in the crack are you smoking, moving business registration for tax purposes makes better what now? Stop watching Faux News and try learning anything about how businesses operate, like maybe that film and TV industry having gone global and not been centered on in Hollywood productions for well over a decade now because everyone films in areas that give even more tax breaks, or that Ellison is a know nothing nepobaby who whined to daddy until he vastly overpaid for yet another movie studio cause his
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California isn't the reason movies suck. Studios run by MBAs with so little creative talent they couldn't draw files with cow shit (and they try, they call it "movies") are the reason movies suck. And all the big studios are run by MBAs.
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In the real world this is an example of looting. This is not about well considered business or financial decisions, it's about stealing wealth and taking it away. The way you describe the California AG makes your embrace of corrupt practice undeniable (although I know you will never admit it).
The enterprise of the film community has thrived in California for such a long time because it is liberal environment. There is room for individualism and inclusiveness, and this was true before DEI was ever a thing.
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Trump and friends probably wanted the Netflix buyout of WB to happen instead.
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On the plus side, it will save me $18.99/mo. I dropped Paramount+ months ago, and now I can say goodbye to HBO/Max. I can watch John Oliver and HIGNFY on Youtube.
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If Trump had promised to destroy hollywood, I would have voted for him 10x harder.
(And i expect I would be disappointed because he wouldn't actually follow through with it)
Anyway, hopefully, AI gets the job done and finally kills that wretched industry. I look forward to further democratization of movie making.
(fwiw, my knee jerk reaction is to oppose the merger.)
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Oh man that blockbuster starring Kevin Sorbo, Chachi from Happy Days, and the chick that tweeted herself out of The Mandalorian is surely happening.
Too high premium (Score:2)
Warner Bros market cap was 1/4th of Comcast and now it is valued at 1.25x Comcast. Not sure if it will ever make that much money. I would rather buy Comcast stock over Paramount.
Emerged victorious? (Score:2)
A negotiated settlement was always the most likely outcome (they usually are in such suits). Neither side is likely to be entirely pleased with the result (it is a compromise, not a one sided win). And while pundits will argue for years as to whether the industry is better or worse for the merger, what-if's are just conjecture.
Re: (Score:2, Flamebait)
Large corporations have been out maneuvering the government and by extension the voters for the last 50 years.
There is no compromise here. The corporations won and they won again. Prices will go up and options will go down.
The basic problem here is every time the Democrat party tries to stop one of these ultra big mega mergers because they suck for consumers all the corporations have to do is hold out for a republican Congress and President and they can get it through.
And no matter how many time
forced concession? (Score:2)
Did Paramount's threat to leave Cali force this agreement to the table?
At least 20% must be blockbusters (Score:4, Insightful)
I understand that on the production side a blockbuster movie is a large-budget feature film for mass markets. But how do you guarantee massive popularity and huge financial success?
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It's only for five years, so none of it really matters.
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> But how do you guarantee massive popularity and huge financial success?
Lately, that means dumping money into more films for a franchise where the horse hasn't entirely been beaten into an unrecognizable bloody pulp yet.
ai hollywood personas (Score:1)
Curious, so i'll ask: what happens when LLMs are fed other AI data, in this case Tilly Norwood's 'interviews.' Also does the AI persona get credit if they write a script? What about casting? Can the AI persona cast the scripts that they write as well?
Last Ronin Movie (Score:2)
I want my Last Ronin movie. Fuck you if you use AI to make it.
Oh good (Score:4, Funny)
Surely this will lead to better outcomes for the consumer, right? RIGHT?
Yes (Score:2, Informative)
The only thing I care about is the Looney Tunes Blu-ray releases, and knowing that WB will continue intact and well-funded means that I'll get what I want.
Of course WB/Paramount will still move to Nashville as soon as they can get the soundstages built. They'll save so much money and avoid so much bullshit doing that. Ask any fire survivor what it's like to build a house in LA these days, now imagine this is your daily life as a movie studio. To get the tax incentives from California you have diversity requ
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Two sock puppets working overtime for this post!
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I mean, it's possible...
In that Paramount Skydance is a heavily leveraged company whose debt rating is in junk territory, with a debt-to-EBITDA ratio of 4-5x, and we're entering a period of monetary tightening, while it has been loading itself up with "traditional media" forms in a time of shifting viewership trends. Aka, if Paramount Skydance ends up going bankrupt and its assets get sold off...
Then, and only then, might it lead to better outcomes for the consumer. Barring that? No.
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> Surely this will lead to better outcomes for the consumer, right? RIGHT?
At least it's just entertainment *shrug* . I'm fine with just re-watching from the back catalog if they don't produce anything good, and if they raise prices on content that actually is otherwise decently entertaining - I'll raise the Jolly Roger. Really, when it comes to companies getting all late stagey with the capitalism, movie studios aren't what you need to worry about.
Re: (Score:1)
> Fuck Benjamin Netanyahu
Donnie already has, several times. And both liked it.