Paramount Settlement Clears Path for $111 Billion Warner Bros. Discovery Deal

Paramount said it reached a settlement with California and other states challenging its $111 billion acquisition of Warner Bros. Discovery, removing what had become the last major obstacle to the deal. The states had argued that the combination would give one entertainment company too much control over major studios, cable networks and other media properties.

The agreement calls for an independent board of journalists intended to protect editorial autonomy at CNN and CBS News, at least 30 theatrical releases per year—with 20 required to be wide releases—and commitments on domestic film and television production. Paramount will not sell CNN or divest a movie studio. The integration is expected to bring substantial job cuts, while it remains unclear which of the two companies’ high-profile streaming leaders will run the combined streaming business.