Paramount Agrees to Postpone Warner Bros. Merger Until After Trial

Key Points:

• Paramount Skydance and a coalition of 12 state attorneys general, led by California, agreed to delay the $111 billion Warner Bros. Discovery merger until after an antitrust trial or June 1, 2027, whichever is earlier, effectively putting the deal on hold for several months.
• The states obtained a temporary restraining order blocking the merger, arguing it would reduce competition in cable and theatrical markets, with officials calling the delay a critical victory for protecting the film and television industries.
• Paramount had aimed to close the deal before September 30 to avoid a $7 million per day "ticking fee," but the agreement signals that closing before then is unlikely without a settlement.
• Both parties canceled a scheduled August 3 hearing on the injunction motion, with Paramount emphasizing its intention to prove the merger benefits competition, consumers, and creators at trial.
• The states and Paramount will submit a joint stipulation on trial scheduling by July 31, with the states proposing an April 2027 trial date.