Report: Anti-Trust Regulators Expected To OK PSKY, WBD Deal

US antitrust regulators appear poised to approve Paramount's $110 billion takeover of Warner Bros. Discovery after a two-hour meeting Tuesday with Paramount CEO David Ellison, according to people familiar with the discussions.

Department of Justice staff attorneys grilled Ellison and other top Paramount executives during the session but ultimately seemed swayed by arguments that the massive media merger would not harm competition, other studios, creative talent, or movie theaters. Ellison reiterated the company's commitment to theatrical film releases as part of the pitch.

The proposed acquisition, valued at approximately $110–111 billion, would combine Paramount (under Skydance ownership led by Ellison) with Warner Bros. Discovery. This creates a media powerhouse encompassing two major Hollywood studios (Paramount and Warner Bros.), streaming services (Paramount+ and Max), news outlets (CBS and CNN), and extensive film, TV, and sports rights libraries. Warner Bros. Discovery shareholders approved the deal earlier, advancing it to regulatory review. The DOJ's antitrust division has been investigating potential impacts on studio output, content rights, streaming competition, and theatrical distribution, including issuing subpoenas in March.

Approval from the DOJ would mark a significant step toward closing one of the largest media deals in recent years. However, the transaction still faces scrutiny from state attorneys general (notably California) and possibly international regulators. Opponents, including thousands of industry workers, actors, directors, producers, and some Democratic lawmakers, have raised concerns about reduced competition, job losses, higher consumer prices, and consolidation in Hollywood.