Paramount Skydance's $111 Billion Warner Bros. Discovery Deal Faces Antisemitism Allegations and Regulatory Scrutiny

Paramount Skydance, led by CEO David Ellison and backed by billionaire Larry Ellison, is in definitive agreement to acquire Warner Bros. Discovery for $111 billion. Larry Ellison, a donor to Friends of the Israel Defense Forces and a close friend of Israeli Prime Minister Benjamin Netanyahu, is a backer. The combined company would assume $79 billion of debt, target $6 billion in cost savings, and pledge to release 30 films annually. 5,500 Hollywood professionals have signed an open letter opposing the merger, citing competition and job concerns.

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The merger cleared a milestone after the Justice Department’s antitrust division issued a second request under the Hart-Scott-Rodino Act, after which the waiting period expired. However, acting antitrust chief Omeed Assefi warned the deal will not be fast-tracked, leaving the approval process open. California Attorney General Rob Bonta has also signaled a potential antitrust suit.

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Chief legal officer Makan Delrahim told the Los Angeles Times the transaction will create “more, better and exciting jobs” and warned that opposition is driven by “antisemitic views.” He denied any Trump administration commitment and said antitrust regulators will find no violation. Acting DOJ antitrust chief Omeed Assefi said the deal will “absolutely not” receive a fast-track review, citing political concerns.

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Opponents, including the 5,500-signatory open letter, argue the merger could reduce competition in film, streaming and news and threaten jobs. Film Workers for Palestine described the deal as supporting “systems of apartheid, occupation, and genocide in Gaza,” while Paramount called the pledge “silencing individual creative artists based on nationality.” Critics note Delrahim offered no evidence of antisemitic opponents.

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Delrahim’s antisemitism allegation lacks named individuals, leaving it unsubstantiated. The DOJ’s statement that the deal will not be fast-tracked conflicts with Delrahim’s confidence that antitrust regulators will see no violation. Although he denies a Trump endorsement, the Ellisons’ historic ties to the former administration raise questions about political influence.

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• “There’s a lot of fear-mongering, particularly from people in Washington, D.C. They are running a political campaign,” — Makan Delrahim, Paramount Skydance chief legal counsel

Paramount Lawyer Accuses Some Critics of WBD Deal of Antisemitism

• “Politics is part of life. It’s part of the beautiful process of democracy,” — Makan Delrahim

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• “Once you look at it, it’s incredibly pro-competitive. It increases output, it increases jobs, and it lowers the cost to the consumers. If you actually try to block this deal, you’re going to harm consumers, you’re going to harm creative talent, because you’re going to harm the creative ecosystem.” — Makan Delrahim

Paramount Lawyer Accuses Some Critics of WBD Deal of Antisemitism

Paramount Skydance aims to close the merger in Q3 2026, subject to DOJ and state antitrust clearance. The company is preparing for possible lawsuits from California and other states and is reviewing leadership plans for WBD’s CNN, HBO and Warner Bros. Television units. The merged entity’s impact on Hollywood’s film, streaming and news markets will hinge on the final regulatory outcome.

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