The True Post (Web News) Warner Bros. Discovery, one of the oldest and largest film companies in Hollywood, has
has urged its shareholders to reject Paramount’s Skydance takeover bid, saying the proposed deal with Netflix would be more beneficial for consumers, the creative industry and long-term growth. Warner Bros. said in a statement to investors on Wednesday that the partnership between Netflix and Warner Bros. would provide consumers with more choice and better entertainment content, while the joint distribution of the two companies would help the creative community reach a wider audience around the world. The company said the deal with Netflix was made because its popular film franchises, extensive content library and strong studio capabilities would complement Warner Bros.’ existing business, not duplicate it.
Paramount Skydance, on the other hand, aggressively presented its offer directly to shareholders last week, demanding that Warner Bros. reject the board-backed Netflix deal. Paramount’s offer is $30 for each Warner Bros. share, while Netflix’s offer is $27.75 per share.
Warner Bros. has made it clear that while Paramount’s offer is not a board priority, the final decision rests with shareholders, who can accept Paramount’s offer if they wish. Paramount’s bid is notable in that it includes Warner Bros.’ cable networks, including CNN and Discovery, while Netflix’s offer does not include the cable business, as Warner Bros. is already in the process of spinning off its cable operations.
Paramount Chief Executive David Ellison said in a statement on Wednesday that he had received a positive response from shareholders and that he considered the deal to be in the best interest of consumers, investors and the creative industry. He said Paramount was committed to advancing its offering.
Both potential deals would also face intense regulatory scrutiny, as a change in ownership of Warner Bros. could have profound implications for the global entertainment industry, streaming platforms, filmmaking and media structures. Critics say a Netflix-Warner Bros. merger could create excessive market dominance, while Paramount Plus’s reach is significantly limited in comparison.
The political aspect is also playing a significant role in this matter. US President Donald Trump has already commented on the deal and has called Netflix’s potential dominance a problem. Interestingly, Paramount’s chief executive David Ellison is the son of Oracle founder Larry Ellison, who is said to have close ties to President Trump. However, in recent days, Jared Kushner’s investment company has announced that it has withdrawn from Paramount’s bid.
According to experts, this bidding war is raising not only business but also political, legal, and media freedom-related questions, the decision of which could affect the future of global media in the coming months.
