Paramount’s $110bn Warner Bros Discovery Deal Faces Scrutiny in UK and US
4 verified6 unconfirmed
Paramount Skydance’s $110bn takeover of Warner Bros Discovery (WBD) is facing regulatory scrutiny on both sides of the Atlantic. The UK Competition and Markets Authority (CMA) has opened an investigation to determine whether the merger would substantially lessen competition. In the United States, Democratic lawmakers have raised concerns, and reports indicate legal challenges may be emerging. Paramount has responded by hiring a former White House official to lead its engagement with Democratic lawmakers as it works to close the deal. The transaction, which would create a media powerhouse, follows a bidding war that Paramount won over Netflix in February. The UK regulator will decide by August 7 whether to launch a more in-depth phase 2 investigation, while the deal carries a September 30 deadline to close.
What’s verified
Paramount Skydance is acquiring Warner Bros Discovery for $110bn.
The UK Competition and Markets Authority (CMA) is investigating whether the merger would substantially lessen competition in the UK.
Sen. Elizabeth Warren has described the deal as "an antitrust disaster" and has asked for a foreign ownership review.
The CMA will decide by August 7 whether to launch a more in-depth phase 2 investigation.
Not yet confirmed
One source reports that more than 1,000 film and TV industry professionals signed an open letter protesting the deal.
One source reports that Paramount has hired former Biden White House staffer Shuwanza Goff as its lead Democrat lobbyist.
One source reports that if the deal is not closed by Sept. 30, 2026, "ticking fees" of $0.25 per WBD shareholder will begin each day.
One source reports that Democratic lawmakers have asked Treasury Secretary Scott Bessent for a foreign ownership review due to investment from Saudi Arabia, Qatar and Abu Dhabi.
One source reports that lawyer Robert Van Nest is in talks with California’s attorney general and other state attorneys general to lead a lawsuit to block the merger.
One source reports that $3bn in cost savings were announced after the Skydance-Paramount merger last year, with a further $6bn in post-WBD synergies revealed.
Key figures
Shuwanza Goff (vice president, U.S. government affairs at Paramount Skydance; former Biden White House aide)
Elizabeth Warren (U.S. senator)
David Ellison (chief executive of Paramount)
Makan Delrahim (Paramount chief legal officer)
Ted Lehman (Paramount svp and head of U.S. public policy and government affairs)
Robert Van Nest (tech lawyer)
Rob Bonta (California attorney general)
Larry Ellison (Oracle co-founder)
Richard Blumenthal (U.S. senator)
Sam Liccardo (U.S. representative)
Scott Bessent (Treasury secretary)
Sources: The Guardian, The Hollywood Reporter
