LA County Backs Bid to Block $110 Billion Paramount Skydance-WBD Merger
Updated
Updated · NBC Los Angeles · Jul 21
LA County Backs Bid to Block $110 Billion Paramount Skydance-WBD Merger
3 articles · Updated · NBC Los Angeles · Jul 21
Summary
Los Angeles County supervisors voted Tuesday to support California’s lawsuit against Paramount Skydance’s proposed takeover of Warner Bros. Discovery, potentially through legal assistance or an amicus brief.
County leaders tied the move to local economic risk: an earlier county report estimated the merger could threaten nearly 2,500 Los Angeles jobs and about 6,000 worldwide through overlapping corporate and tech roles.
The board also ordered county attorneys to deliver within 60 days a report on other legal options to protect the region’s film and television industry, which officials said supports more than 171,000 entertainment jobs.
Monday’s court order already put the $110 billion deal on hold for 14 days, with a preliminary-injunction hearing set for Aug. 3 as California and 11 other states press antitrust claims.
State Attorney General Rob Bonta argues the merger would concentrate nearly one-third of theatrical movie and basic cable programming under one company, while Paramount Skydance says the deal would strengthen competition with Netflix.
The Paramount Skydance and Warner Bros. Discovery merger faces a major legal roadblock after a temporary restraining order was issued, immediately halting Paramount’s plans to close the deal. This action followed Paramount’s push to finalize the merger quickly, which triggered legal intervention to prevent its immediate completion. In court, Paramount’s attempt to delay the closing was met with little sympathy, as the judge prioritized public interest over potential economic harm to the companies. The court recognized that the lawsuit aimed to protect crucial public interests, waiving the usual bond requirement for plaintiffs and highlighting the broader impact of the merger on competition and the public.