In news that is both a relief to people who hate monopolies and a nightmare for people who want things over with, Paramount has agreed to wait until after the ensuing antitrust trial regarding its purchase of Warner Bros. Discovery to finalize the purchase. This agreement comes just one day after the judge extended the pause to the deal from two weeks to four. We saw the news at The Hollywood Reporter. In court documents, Paramount said it will hold off on the merger until June of 2027 or until the judge issues a ruling in the case, whichever comes first.
“This is the fastest and clearest way to prove that this transaction is good for competition, good for consumers, and good for creators, a conclusion dozens of competition authorities around the world have already reached. Plaintiffs’ market definitions bear no relationship to the realities of today’s marketplace and cannot withstand scrutiny. We look forward to proving our case at trial,” a Paramount spokesperson said.
The opposition to the Paramount takeover of Warner Bros. is basically anyone who isn’t an shareholder of either company. But more specifically, a coalition of 12 states including California allege that the merger would significantly hamper market fairness and throttle competition in the big market theatrical release space. Likewise, the Writers Guild of America says the merger will result in lower compensation and worse working terms. Hard to see the lie there.
Kyle Anderson is the Senior Editor for Nerdist. He hosts the weekly pop culture deep-dive podcast Laser Focus. You can find his film and TV reviews here. Follow him on Letterboxd.