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Paramount wins Warner Bros takeover after settling states, union lawsuits

9/24/2026

Paramount Skydance has settled with a California-led group of US states and the Writers Guild of America, clearing a major legal obstacle for its $110 billion acquisition of Warner Bros Discovery.

The resolution ends a months-long legal battle that threatened to block one of the largest media mergers in history, allowing CEO David Ellison to proceed with a deal that would consolidate significant power across Hollywood's film, television, streaming, and news sectors.

The settlement requires Paramount to accept specific operational constraints in exchange for avoiding a forced divestiture of assets such as CNN or its film franchises.

Paramount agreed to abide by temporary film quotas and establish a news oversight committee.

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