WASHINGTON — Paramount Skydance’s proposed acquisition of Warner Bros. Discovery moved closer to completion this week after securing additional regulatory approvals, marking a significant step in one of the largest media consolidation efforts in Hollywood’s history.
The U.S. Department of Justice said on June 12 that it had cleared the approximately $110 billion transaction following an eight-month antitrust review. Regulators concluded that the merger was not likely to harm competition or consumers in streaming, television, or film markets, according to the department.
The deal would combine major entertainment assets under a single company, including Paramount Pictures, Warner Bros. Pictures, HBO Max, Paramount+, CBS News and CNN, according to company statements and regulatory filings.
In a statement following the U.S. decision, Paramount said the transaction is “pro-competitive” and would create “a stronger company better positioned to compete against dominant technology platforms” in the entertainment sector.
The merger comes as traditional media companies face growing competition from global streaming services and technology firms. Industry executives have argued that larger scale is needed to compete for audiences, content and advertising revenue.
The transaction has also drawn opposition from some labor groups, creators and public officials. Critics have warned that further consolidation could reduce employment opportunities and limit the diversity of content production. Demonstrators gathered in Los Angeles earlier this month to protest the deal, while some state officials have continued to examine potential legal challenges.
“The extensive investigatory record reviewed by the Division suggests that the impact of the transaction will be to increase competition across the media and entertainment ecosystem, with benefits for American consumers and workers,” the Justice Department said in its announcement clearing the merger.
The companies still require approval from several jurisdictions outside the United States. A source familiar with the matter told Reuters this week that Chinese regulators had approved the transaction, joining authorities in the United States, Australia, Germany, France and Saudi Arabia that have already cleared the deal. The European Union has not yet issued a final decision, according to the source.
As of Friday, the merger remained under review in some markets and could still face legal challenges from state authorities. Paramount has said it remains focused on completing the transaction as soon as possible, while regulators continue to assess the remaining approvals required before the deal can close.
