Paramount Skydance Completes $110bn Warner Bros Discovery Takeover, Raising Press Freedom Concerns Over CNN and CBS

Paramount Skydance has finalized its acquisition of Warner Bros Discovery, a deal valued at approximately $110 billion including debt, which places CNN and CBS News under a single corporate owner for the first time. The merger creates a sprawling media conglomerate, Skydance Corporation, that unites some of the most recognizable names in entertainment and journalism, including HBO, Nickelodeon, Showtime, Comedy Central, DC Studios, and the Food Network, alongside the streaming platforms Paramount+ and HBO Max.

While the combination of two Hollywood giants is notable for its sheer scale, the most intense scrutiny has focused on the company's control of two major American news organizations. David Ellison, who serves as chairman and chief executive of Skydance, has publicly pledged to maintain the editorial independence of both networks. However, the involvement of his father, Oracle cofounder Larry Ellison, as a major financial backer of the deal has fueled skepticism. Larry Ellison has a documented history of political donations to US President Donald Trump and to causes supporting Israel, raising questions about whether corporate ownership could influence news coverage.

President Trump welcomed the completion of the takeover on Tuesday, offering a warm endorsement. "They're terrific people, and it's going to be a great company," he told reporters. His approval stands in stark contrast to the concerns voiced by critics who worry that the merger could undermine the ability of CNN and CBS to hold powerful figures accountable.

The path to completion was not smooth. The acquisition faced significant opposition from Hollywood workers, politicians, and state prosecutors who argued that the deal would concentrate too much power in an industry already dominated by a small number of players. Netflix initially reached an agreement to purchase part of Warner Bros Discovery, but Paramount countered with a competing bid. A bidding war ensued before Netflix ultimately withdrew.

A coalition of 12 state attorneys general, led by California, filed a lawsuit to block the merger, contending that it would reduce competition and lead to higher prices for consumers. The Writers Guild of America launched a separate legal challenge. Both cases were resolved in September when Paramount agreed to a set of commitments, including provisions related to film production, support for displaced workers, and protections for the news networks. As part of the settlement, the company agreed to create a new editorial independence board.

Despite these concessions, opposition to the deal has not subsided. Actor and activist Mark Ruffalo has been vocal in his criticism, stating, "This merger will stifle creativity, weaken free speech and cost people their jobs." Democratic Senator Elizabeth Warren linked the takeover directly to Trump's broader efforts to restrict media access, saying, "As Trump tries to ban CNN from the White House, it would be a massive mistake to cave on the Paramount merger." Her comment referenced the president's recent attempt, which was blocked by a federal judge last month, to bar reporters from several news organizations, including CNN, from accessing the White House.

The settlement requires Skydance to establish a "News Editorial Independence Board" within 180 days of completing the takeover. The five-member body is supposed to include active or retired journalists with at least a decade of experience. Its stated purpose is to set editorial principles and adjudicate disputes between the news networks and corporate management. However, the structure of the board has drawn sharp criticism from press freedom advocates.

Critics point out that board members will be appointed by, and will report to, Skydance's board of directors, which David Ellison chairs. Additionally, two members are permitted to belong to the same political party, and there is no requirement for the board to publish its findings. These provisions have led to a series of pointed questions: How can an independent editorial board member also be a member of a political party? How can there be meaningful scrutiny if the board's conclusions remain secret? And how can the body be genuinely independent if it is appointed by a board of directors that is itself appointed by the company's CEO?

Seth Stern, chief of advocacy at the Freedom of the Press Foundation, did not mince words in his assessment. "A Paramount-appointed editorial independence board for CNN and CBS is worthless," he said. "The fish rots from the head, and this particular fish is headed by a compromised oligarch with a history of throwing journalists under the bus to advance his business interests." Stern also raised a broader constitutional concern: whether government enforcement of the settlement could itself threaten press freedom. "The editorial board creates the same First Amendment problems it's supposed to solve – the government meddling in the news," he warned. The First Amendment provides constitutional protection for freedom of speech and the press.

David Ellison has pushed back against the criticism, insisting that the two networks will continue to operate independently. "We're going to make sure that CNN and CBS News are completely editorially independent," he said on Tuesday. In a move apparently aimed at easing fears, Skydance announced on Monday that Mark Thompson would remain CNN's chairman and editor-in-chief, while Bari Weiss will continue as CBS News's editor-in-chief. The decision headed off earlier speculation that Weiss might immediately assume control of both networks.

The timing of the takeover has amplified concerns. The deal places the Ellison family in control of CNN less than a month before the November 3 US midterm elections. It also follows a pattern of repeated attacks by Trump on the network as it seeks to hold his administration accountable. Shortly after Paramount launched its bid in December, Trump accused CNN of spreading "poison and lies" and said it was "imperative" that it be sold. Meanwhile, the Trump administration has moved to bar CNN from reporting in certain areas of the White House.

The political leanings and philanthropic history of Larry Ellison have added another layer of unease. He donated roughly $45 million to a political nonprofit group supporting Trump's election efforts in 2024. He also gave $16.6 million to Friends of the Israel Defense Forces, a charity supporting Israeli soldiers, which was its largest single donation at the time. These contributions, combined with his role as a major financial backer of the merger, have led critics to question whether the news networks can truly maintain editorial independence under the new corporate umbrella.

As Skydance Corporation begins integrating its vast portfolio, the debate over the merger's implications for journalism is far from settled. The editorial independence board is expected to be formed within the next six months, and its composition and actions will be closely watched by media watchdogs, politicians, and the public. For now, the fate of CNN and CBS – and the broader question of whether corporate consolidation can coexist with a free and independent press – remains unresolved.