A major development has shaken the global entertainment industry. In a deal valued at nearly $110 billion, Paramount Skydance is set to acquire Warner Bros. Discovery. After months of negotiations and competition, streaming giant Netflix ultimately lost the bidding race.
International media reports say the boards of both companies approved the agreement in late February. Under the proposal, Paramount will acquire Warner Bros. Discovery at a cash price of $31 per share. The offer exceeded Netflix’s earlier bid, prompting the board to favor Paramount’s proposal.
Netflix had initially offered about $83 billion, valuing the shares at roughly $27.75 each. But at the final stage, Paramount Skydance, led by David Ellison, presented a higher bid. Although Netflix had the option to counter, the company eventually withdrew from the competition. According to the agreement, Netflix will receive a breakup fee of about $2.8 billion.
A significant financing plan has also been arranged to complete the acquisition. International banks and investment firms have reportedly committed around $54 billion in loans. In addition, the Ellison family and their partner investors are contributing substantial equity funding.
Paramount currently owns several major broadcast and cable networks, including CBS and Paramount Pictures. Warner Bros. Discovery, meanwhile, controls HBO, CNN, and Warner Bros. Pictures, along with a vast library of film and television content. Popular franchises such as Harry Potter, Game of Thrones, the DC Universe, Mission: Impossible, and SpongeBob SquarePants would become part of a combined content portfolio.
Analysts believe the deal could also reshape the streaming landscape. Paramount is reportedly considering merging its Paramount+ service with Warner Bros.’ Max platform, formerly known as HBO Max. Such a move could lead to the launch of a larger global streaming platform offering premium series, films, and live sports under one service.
However, several hurdles remain before the agreement becomes final. The deal must still receive approval from regulatory authorities in the United States and other countries. Analysts warn that bringing major news networks such as CBS and CNN under the same ownership could raise concerns about market competition and media independence.
If all approvals are secured, the merger could be completed by the end of 2026. Industry observers say the agreement could significantly shift the balance of power in the global film and streaming business, potentially ushering in a new era that blends traditional Hollywood studio strength with digital streaming dominance.
