The American Department of Justice validated, this Friday, June 13, the takeover of the Hollywood studio Warner Bros. Discovery by the conglomerate Paramount Skydance, paving the way for this megamerger for around $111 billion, which should give birth to a new media giant.
It is the birth of a juggernaut in the American media landscape. The Trump administration approved this Friday, June 13, the takeover of the Hollywood studio Warner Bros. Discovery by the conglomerate Paramount Skydance, paving the way for this megamerger for approximately $111 billion. This merger should give birth to a new media giant.
After an eight-month investigation, the department’s antitrust division concluded that the transaction was not “not likely to harm competition or American consumers”, whether in streaming, television or the production and distribution of theatrical films, according to a press release. It therefore gave up contesting it, without requiring transfers of assets or commitments, believing on the contrary that the operation should promote competition and be beneficial “for American consumers and workers”.
Vague d’unquietude à Hollywood
The Ministry of Justice hopes that this merger will allow “to increase competition across the entire media and entertainment ecosystem, with benefits for American consumers and workers.” It also highlights the entry “historically late” from Paramount and Warner in subscription streaming.
Their platforms Paramount +, HBO Max and Discovery + have fewer subscribers than the three industry leaders, Netflix, Amazon Prime and Disney +. This new group would therefore offer a more robust alternative to these giants, according to the ministry. It will concentrate television channels, film studios, streaming platforms and major franchises like HBO
This purchase aroused concern and opposition from a large part of Hollywood, fearing massive cuts in an industry which has already been weakened by several waves of layoffs.
