David Ellison Complains About Cost Of States' Antitrust Suit
Deadline • • entertainment
Key Points:
- Paramount CEO David Ellison criticizes 12 state attorneys general for blocking the $111 billion Warner Bros./Paramount merger, highlighting that 68 countries and multiple global regulators have approved the deal.
- The lawsuit against the merger, led by attorneys general from states like California and New York, was filed in July, with a trial scheduled for March 2027; the Writers Guild of America has also filed a related suit.
- Paramount claims to have offered concessions and seeks a response by October 1 to avoid a $7 million daily penalty fee to Warner Bros. Discovery shareholders, which could escalate the merger’s costs by billions.
- The company warns that continued legal delays will impose significant financial burdens and business disruption, urging a settlement that benefits workers, consumers, and states involved.
- State attorneys general maintain their opposition, arguing the merger would reduce competition, lower wages, lead to job cuts, and violate federal antitrust laws, with courts indicating the case likely favors the states.
