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Paramount Skydance Begins First 1,000 Layoffs as Ellison Presses Warner Bros. Discovery Pursuit

The reductions start a drive toward roughly $2 billion in savings under David Ellison.

Overview

  • About 1,000 jobs will be cut on Wednesday, mostly in the U.S., with a second round expected later that could bring total reductions to roughly 2,000, according to multiple reports.
  • The cuts follow the August merger that put Skydance in control of Paramount and are part of an integration plan targeting approximately $2 billion in cost savings.
  • Warner Bros. Discovery is reviewing sale options after rejecting earlier offers from Paramount Skydance, with other potential bidders also examining the company, according to industry reporting.
  • Bloomberg reporting cited by Reuters says Ellison’s plan for a combined company would keep most WBD operations intact, merge HBO Max into Paramount+, and streamline marketing and distribution, with no current plans to spin off cable networks.
  • The Writers Guild of America formally opposed any combination of Warner Bros. with a major studio and pledged to work with regulators to block such a merger, while political dynamics are seen as influential in any review.