Paramount Global (now largely under the control of Skydance Media following an $8 billion merger finalized in August 2025) is positioning itself as the leading contender to acquire Warner Bros. Discovery (WBD) in what could become one of the largest media mergers in history, valued at up to $74 billion. Led by David Ellison—son of Oracle co-founder and billionaire Larry Ellison—the bid aims to consolidate two Hollywood giants, combining assets like HBO, Warner Bros. Studios, CNN, Paramount Pictures, CBS, and streaming services HBO Max and Paramount+. However, WBD has rejected multiple offers from Paramount so far, citing them as undervalued, while exploring other strategic options including a company split.
- Deep Pockets and Family Ties: Larry Ellison's $330 billion net worth provides potential unlimited funding, unlike Netflix ($9.3 billion cash but no mega-deals history) or Comcast ($9.7 billion cash, reliant on debt/partners). David Ellison has already spent aggressively post-merger, including a $7.7 billion UFC rights deal and $1.25 billion "South Park" streaming extension.
- Political Leverage: Larry Ellison's status as a major Republican donor and Trump supporter could mitigate antitrust scrutiny from a potentially more merger-friendly FTC/DOJ under a second Trump administration.
- Strategic Fit: A full acquisition would create a powerhouse with 120+ million streaming subscribers, iconic IP (e.g., DC Comics, Star Trek, Superman), and diversified news (CBS News + CNN). Paramount argues it's the "only viable suitor" avoiding excessive regulatory red flags from bigger tech buyers like Apple.
- Analyst Endorsement: PP Foresight's Paolo Pescatore stated, "Paramount appears to be in pole position," while Bank of America's Jessica Reif Ehrlich values WBD at ~$30/share in a sale—feasible for Ellison.