Paramount Skydance has completed its $110bn (£82.8bn) merger with Warner Bros Discovery, forming a new entertainment behemoth named Skydance. This deal brings together major franchises such as Harry Potter and Game of Thrones.
The merger is expected to impact consumers, with analysts anticipating a rise in streaming prices. Combining HBO Max and Paramount+ into a single platform or bundle will likely increase costs for subscribers over time, particularly for those currently subscribed to only one service.
As part of a settlement with US states, Skydance has committed to releasing a specific number of films annually for the next five years. This includes 30 movies per year for the first two years and 32 films annually for the remaining period, with most required to be wide cinema releases.
However, the merger has raised concerns about potential job losses in Hollywood. A report by CVL Economics for LA County estimated the deal could eliminate approximately 4,500 direct film and TV jobs and result in $1.26bn in lost wages over three years. While a workforce fund for retraining displaced workers has been established, it does not prevent layoffs.
The deal also brings CBS News and CNN under a single corporate roof. A news editorial independence board will be appointed by Paramount to address concerns over journalistic independence, though some experts remain sceptical about its effectiveness.