Paramount Sued by Subscribers Seeking to Block Warner Bros. Deal
Variety • • business
Key Points:
- A group of current and prospective Paramount+ subscribers filed a lawsuit to block the $110 billion merger between Paramount Skydance and Warner Bros., citing concerns over higher prices and fewer viewing options.
- The plaintiffs seek an injunction against the merger, divestiture of Paramount from Skydance, and triple damages under the Clayton Act for alleged anticompetitive harm.
- The lawsuit argues that the merger is part of a broader industry trend toward consolidation that reduces competition and consumer choice, referencing other major deals like Disney-Fox and Amazon-MGM.
- Plaintiffs also claim the merger will reduce theatrical film output and variety, diminishing the moviegoing experience, while accusing Skydance of compromising CBS News's editorial independence to gain regulatory approval.
- Paramount Skydance denies the lawsuit's claims, stating the merger will create a stronger competitor that benefits creative talent and consumers, with CEO David Ellison pledging to increase theatrical film releases post-merger.
