Particle.news
Download on the App Store

Paramount Skydance Boosts Cost-Cut Goal, Plans Paramount+ Price Hike After Quarterly Loss

Investor optimism rose after David Ellison set ambitious 2026 targets that signal a content‑led push to scale streaming.

Overview

  • In its first post-merger report, the company posted a $257 million Q3 loss on $6.7 billion in revenue, pressured by declines in linear advertising and affiliate fees.
  • Paramount raised expected merger synergies to at least $3 billion and outlined roughly 1,600 additional job cuts tied to divesting Telefe in Argentina and Chilevisión in Chile.
  • Paramount+ will raise U.S. prices on Jan. 15, 2026 to $8.99 for Essential and $13.99 for Premium, will retire free trials, and will report only paid subscribers starting in Q4 2025.
  • Management signaled incremental 2026 programming investments exceeding $1.5 billion, highlighted a seven‑year, $7.7 billion UFC rights deal, and targeted a ramp to about 15 theatrical releases annually, with direct‑to‑consumer profitability expected in 2026.
  • Paramount has made multiple bids for Warner Bros. Discovery that were rejected as too low, while WBD’s David Zaslav recently met with Comcast executives as outside interest continues.