Published : 07 Oct 2026, 03:17 AM
Updated : 07 Oct 2026, 03:17 AM
Paramount Skydance has officially completed its takeover of Warner Bros Discovery in a $110bn merger set to reshape Hollywood and the wider media landscape, the BBC reports.
The deal brings together two of Los Angeles’ biggest studios after months of legal disputes and criticism that consolidation and job cuts could hurt competition and consumers.
The merger will affect streaming services used by millions and bring brands including HBO, CBS, Nickelodeon, Showtime, Comedy Central, DC Studios and Food Network under one company, according to the report.
Paramount will also take ownership of major franchises including Harry Potter, Game of Thrones and The Lord of the Rings, adding them to its existing titles such as Indiana Jones, Mission: Impossible and Shrek.
The combined company will be rebranded as Skydance Corporation, the name of the company founded by David Ellison before he took control of Paramount and Warner Bros Discovery.
Ellison, chairman and chief executive of Skydance, described the completion as “historic” for the film industry.
He said the aim had been to combine the two studios to create a stronger competitor with the talent and resources to produce content across genres and platforms.
Last week, Ellison appointed outgoing Mattel chief executive Ynon Kreiz as co-chief executive.
Kreiz will oversee day-to-day operations and the integration of the businesses, while Ellison will focus on strategy and technology, the BBC said.
Former BBC director general Mark Thompson will remain chairman and editor-in-chief of CNN Worldwide, while Bari Weiss will remain editor-in-chief of CBS News.
Mike Proulx, research director at Forrester Research, said the change effectively puts the HBO leadership team in charge of the combined streaming operation, but warned Bloys would face pressure to cut costs, potentially affecting content quality.
AJ Bell head of markets Dan Coatsworth said the new company faced high debt while interest rates remained high.
He said it would need to cut costs and increase profits to reduce the debt to more manageable levels.
Coatsworth also pointed to the flop of Digger, Warner Bros’ final release before the merger, as a reminder that the film industry does not guarantee profits.
Although the company said it had received unanimous approval from competition authorities worldwide, the takeover faced controversy from the outset.
Netflix initially agreed to buy part of Warner Bros Discovery, but Paramount Skydance entered a bidding war, eventually prompting Netflix to withdraw.
Lawyers from about a dozen US states, led by California, then sued to block the deal, arguing it would reduce competition, increase consumer prices and cause “substantial” harm to cinemas, cable distributors and audiences.
The states reached a settlement with Paramount and Ellison last month, clearing the way for the merger.
