❓WHAT HAPPENED: Paramount Skydance announced plans to merge Paramount+ and HBO Max into a single streaming service following its acquisition of Warner Bros. Discovery.
👤WHO WAS INVOLVED: Paramount Skydance CEO David Ellison, Warner Bros. Discovery, and Netflix (which withdrew from the bidding war).
📍WHEN & WHERE: The announcement was made during an investor call on Monday, days after Warner signed the acquisition agreement.
💬KEY QUOTE: “We think the combined offering…really will put us in a position to be able to compete with the most scaled players,” said David Ellison.
🎯IMPACT: The merger could reshape the streaming landscape, with the Ellison family also pledging to roll out an aggressive Hollywood cinematic release schedule.
With the acquisition of Warner Bros. Discovery underway, Paramount Skydance informed shareholders on an investor call on Monday that it plans to merge its current streaming service and digital library called Paramount+ with the Warner Bros. streaming property, HBO Max. “We do plan to put the two services together, which today gives us a little over 200 million direct-to-consumer subscribers,” David Ellison, the CEO of Paramount Skydance, stated.
“We think the combined offering, given the amount of content and what we can do from the tech side, really will put us in a position to be able to compete with the most scaled players” in the direct-to-consumer streaming market, Ellison added. Paramount+ is home to the Star Trek franchise and Yellowstone, while HBO Max owns mega-franchises like Game of Thrones and Batman.
The National Pulse reported last week that Warner Bros. agreed to be acquired by Paramount Skydance in a $77 billion deal after Netflix withdrew its bid. Just prior to Netflix withdrawing its bid, Warner Bros. announced that it had determined Paramount Skydance to have made a superior offer compared to the streaming giant founded by Democrat mega-donor Reed Hastings.
If the acquisition is approved by federal government regulators—a very likely scenario—Paramount Skydance will control Warner Bros. Pictures, DC Entertainment, HBO, and CNN, among other assets. Ellison, who is the son of Silicon Valley titan Larry Ellison, emphasized the merger’s potential to strengthen Hollywood and help Paramount compete in an evolving market. He pledged to release 30 movies in theaters annually and maintain HBO’s creative independence. “HBO should stay HBO,” Ellison stated.
The Netflix-Warner Bros. merger was opposed by America First conservatives such as former Congressman Matt Gaetz, who wrote in The National Pulse in January, “This isn’t a merger to foster competition. The objective is outright control. Netflix already dominates streaming content. WBD already dominates content with a massive library and content creation ability at scale. Put them together and you don’t get ‘synergies.’ You get a vertically integrated behemoth that controls what gets made, what gets promoted, what loads fastest on your screen, and what quietly disappears.”
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