Search Here

Paramount Skydance is reportedly preparing a bold move to acquire Warner Bros Discovery in a potential all-cash deal that could reshape the global entertainment industry.

According to sources familiar with the matter, the proposed offer is being led by Skydance CEO David Ellison and backed by his father, Oracle co-founder Larry Ellison.

According to Reuters, the deal would bring together two of Hollywood's most iconic studios, with combined assets including CBS, CNN, HBO, Nickelodeon, DC Comics, and major franchises like "Harry Potter," "Top Gun," "The Matrix," and "Star Trek."

Though no official bid has been submitted yet, shares of Warner Bros Discovery surged over 28% on Thursday following reports by The Wall Street Journal and CNBC. Paramount Skydance shares also rose 15%.

"This deal is the Hollywood equivalent of a sequel no one expected but everyone sort of saw coming," said eMarketer analyst Jeremy Goldman.

Warner Bros Discovery recently announced plans to split its traditional cable networks from its studio and streaming business.

Paramount Skydance May Have to Buy All of Warner Bros Discovery Before April 2026

According to CNBC, that split is expected to finish by April 2026. If Paramount Skydance moves forward before then, it would have to buy the entire company, not just the streaming and studio assets.

Skydance's offer is said to include all of Warner Bros Discovery's media holdings — including HBO, CNN, and Warner Bros Studios.

Analysts believe a cash-rich deal may appeal to Warner Bros Discovery shareholders more than waiting for CEO David Zaslav's ongoing restructuring to pay off.

Legal experts say the deal would face significant scrutiny from antitrust regulators, especially given the size and influence the combined company would have.

However, some believe the current political environment might be more open to approving major media mergers.

Andre Barlow, an antitrust attorney, explained, "The DOJ will want to know if this reduces competition, raises prices, or limits creativity. But under a Trump-led administration, there could be less resistance to deals like this."

The Ellison family's deep financial backing could be key to getting the deal done. Larry Ellison, now worth over $360 billion, is believed to be playing a central role in financing the potential bid.