The United States Department of Justice approved the acquisition of Warner Bros. Discovery by Paramount Skydance. The decision ends an eight-month investigation and releases one of the largest operations in the media and entertainment sector in recent years, valued at around US$111 billion.
The Antitrust Division concluded that the merger is unlikely to harm competition or American consumers. According to the organization, the operation could even increase rivalry in the market, especially against streaming giants such as Netflix, Disney+ and Amazon.
The process involved examining more than 2 million documents provided by companies. Officials looked at three main areas: subscription streaming services, linear television and theatrical film production and distribution.
In streaming, the new company would combine Paramount+, Max and Discovery+. The Department of Justice assessed that the resulting group would have more strength to compete with the leading platforms, which dominate the number of subscribers.
Regarding linear TV, the body considered the continuous migration of viewers to digital services and competition from sports and news rights. The conclusion was that there is no risk of a reduction in the supply or diversity of content.
In film production, the analysis included rivals such as Disney, Sony, Universal and independent studios. Researchers observed that new strategies by smaller players and investments by tech companies in movie theater releases keep the sector dynamic.
Paramount won a fierce dispute with Netflix for control of Warner. Paramount’s cash offer, superior to its streaming rival’s, ultimately prevailed. Oracle billionaire Larry Ellison and his son David Ellison, CEO of Paramount, played a central role in financing and structuring the deal.
With federal approval, the path becomes clearer for the closing of the transaction, scheduled for the third quarter of 2026, subject to other regulatory authorizations. The merger creates a giant with iconic studios, TV channels, streaming services and global franchises like DC and HBO.
Experts point out that the movement reflects the pressure for consolidation in the sector, given the rising costs of content production and the need for scale to face technological competitors.
