Overview
- Paramount reached an agreement to buy Warner Bros. Discovery for $111 billion, securing one of the entertainment industry's largest deals.
- The offer includes covering a $2.8 billion payment owed to Netflix due to Warner's pivot and a $7 billion reverse break fee if regulators block the merger.
- Netflix stepped back from the contest, saying the transaction was a nice-to-have at the right price rather than a must-have at any price.
- The companies target closing in the second half of 2026, subject to competition reviews, with California officials signaling the deal is not a done deal.
- The combination would unite assets including HBO Max, CNN, Discovery Channel, and major franchises with Paramount's SkyShowtime and film library, reshaping streaming competition.