The US Department of Justice Antitrust Division cleared Paramount Skydance's $111 billion acquisition of Warner Bros Discovery on June 12, 2026, following an approximately eight-month investigation [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12]. The DOJ concluded the merger is unlikely to harm competition or American consumers in streaming video on demand (SVOD), linear TV, or theatrical film production and distribution [1, 2, 3, 4, 5, 7, 8, 9, 10, 11, 12]. The agency did not impose conditions or require divestitures as part of its approval [7, 9, 11, 12].
The deal combines Paramount’s assets—including Paramount Pictures, CBS, Showtime, and Nickelodeon—with Warner Bros’ properties like CNN, HBO, TBS, TNT, DC Studios, and New Line Cinema. The merger creates one of Hollywood's most powerful media conglomerates [1, 2, 4, 5, 12]. Paramount Skydance outbid Netflix, which withdrew from the bidding war in February 2026 after Paramount raised its offer [3, 12].
Paramount has pledged $6 billion in cost synergies from the merger but faces opposition from creators, labor unions, and some industry figures concerned about consolidation’s impact on competition, jobs, and creativity [1, 2, 5]. A coalition of around 10 US states, led by California Attorney General Rob Bonta, is preparing potential antitrust lawsuits to block or challenge the acquisition, citing concerns over reduced competition and critical views of the Trump administration’s antitrust policies [1, 3, 4, 6, 9, 10, 11, 12]. Bonta’s office said the investigation remains active without updates [12].
Other regulators are also reviewing the merger. The UK Competition and Markets Authority plans to decide in July 2026 whether further in-depth scrutiny is needed. The European Commission is expected to conclude its review by August 2026 [2, 3, 9, 10, 11]. Paramount CEO David Ellison, son of Oracle co-founder Larry Ellison, leads the company. Ellison said in June the deal was on track to close by September 2026 but acknowledged regulatory reviews and lawsuits could delay the timeline [1, 2, 4, 6, 12].
Paramount previously merged with Skydance in 2025 and reduced its workforce by about 10% [1]. Gulf sovereign wealth funds have committed $24 billion to support the merger [2]. Paramount stated the deal will create a stronger company better positioned to compete against dominant technology platforms in a highly competitive industry [4]. The DOJ said, "The Division has completed its analysis of the proposed merger... and determined... the transaction is not likely to result in harm to competition or American consumers" [2].
The company aims to secure all approvals and finalize the acquisition by September 2026, though European regulatory clearance and possible US state lawsuits might push completion beyond that date [6, 9, 10, 11].
