Paramount Skydance announced plans to merge Paramount+ and HBO Max into a single streaming platform following its acquisition of Warner Bros. Discovery (WBD).
The combined service will have a projected subscriber base of over 200 million, positioning it as a major competitor in the consolidated streaming market. The acquisition deal is estimated at $110 billion.
CEO David Ellison stated that HBO’s identity and creative vision as a studio would remain unchanged. “Our viewpoint is HBO should stay HBO,” Ellison said during an investor call on Monday.
Ellison committed to maintaining a robust theatrical slate, pledging 30 annual theatrical releases across both studios. He also described the merger as pro-competition, pro-consumer, and pro-creative community.
The merger brings together a vast array of film, TV, and news assets under one corporate entity. It follows a trend of consolidation seen with other platforms, such as the combination of Disney+ and Hulu.
The U.S. Department of Justice is expected to scrutinize the merger over media concentration and competition concerns. California Attorney General Rob Bonta vowed to rigorously review the acquisition.
Industry observers warn the merger may lead to significant job cuts. Concerns have also been raised regarding editorial independence due to the Ellison family’s political connections.
Ellison voiced confidence that the transaction would move forward smoothly. He stated the merger would create a stronger Hollywood and global production ecosystem.
