DOJ clears Paramount-Warner Bros merger after 8-month antitrust probe, says deal could boost competition

The Justice Department (DOJ) on Friday announced it has closed its antitrust investigation into Paramount Skydance’s proposed acquisition of Warner Bros. Discovery, concluding the transaction is not likely to harm competition or American consumers.

The Antitrust Division said its eight-month review examined more than two million documents and found the deal could strengthen competition across the media and entertainment industry, including in streaming video, traditional television and theatrical film distribution.

“The extensive investigatory record reviewed by the Division suggests that the impact of the transaction will be to increase competition across the media and entertainment ecosystem, with benefits for American consumers and workers,” the department said.

The DOJ said the combined company would continue competing against larger streaming rivals including Netflix, Amazon and Disney and found no evidence the transaction would likely reduce consumer choice.

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The department also disclosed that regulators reviewed a separate proposal involving Netflix before Paramount reached a definitive agreement with Warner Bros. Discovery. 

According to the DOJ, evaluating both proposals provided investigators with competing perspectives on the future of the media industry.

The decision drew criticism from Sen. Elizabeth Warren, D-Mass., who urged state attorneys general to continue fighting the transaction.

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“This is terrible news for every American who doesn’t want Trump-aligned billionaires to control what they watch and how much they pay,” Warren wrote on X.

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Warren also alleged the merger “reeked of corruption and influence-peddling” and called on state officials to block the deal.

State attorneys general retain independent authority under antitrust laws, and the DOJ’s decision does not itself prevent additional legal challenges to the proposed transaction.

The merger still faces several steps before completion.

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Paramount announced Friday that it had extended debt exchange and tender offers connected to Warner Bros. 

Discovery and said it expects those offers to remain aligned with the anticipated closing timetable. The company also cautioned that the acquisition remains subject to closing conditions and other risks.