Opposition to the tie-up between Paramount Skydance and Warner Bros Discovery continues to mount, as cinema professionals fear a new wave of concentration at the expense of film diversity and competition.
During CinemaCon in Las Vegas on Tuesday, Michael O'Leary, President and CEO of Cinema United, called on regulators to block the deal, arguing it would grant the future group excessive leverage over theatrical releases, exhibition windows and screen allocation. Cinema United is the leading trade organization for the motion picture exhibition industry.
This stance comes after Paramount Skydance announced its acquisition of Warner Bros Discovery on February 27 in a deal valuing the group at $110bn, following Netflix's withdrawal. The transaction, expected to close in Q3 2026, subject to regulatory approvals, aims to create a premier entertainment powerhouse by combining Paramount+, HBO Max and Pluto TV.
The President and CEO of Paramount Skydance has maintained that both studios will continue to operate separately and that the new entity will release at least 30 films per year in cinemas. However, operators remain skeptical. Michael O'Leary believes industry history shows that consolidation often results in fewer films and increased control over release windows and scheduling.
Opposition extends beyond cinemas, with over 1,000 industry figures, including Jane Fonda, Joaquin Phoenix and Mark Ruffalo, also fearing a decline in production diversity and a reduction in competition.
Formed from the merger between Skydance Media, LLC and Paramount Global in August 2025, Paramount Skydance Corporation is one of the world's leading media and entertainment groups. The company's activities are organized around 4 divisions:
- film and television content production: feature films, animated films, television series, animated series, documentaries, etc. These activities are carried out through Paramount Pictures, Paramount Animation, Skydance Animation, Skydance Media, Skydance Productions, Skydance Sports, SHOWTIME/MTV Entertainment Studios, BET Studios, Awesomeness, Paramount Players, See It Now, CBS Studios, and Nickelodeon Studios.
- subscription and free streaming: video-on-demand (films, series, TV programs, etc.), real-time broadcasting of sporting events, concerts, etc. via the Paramount+, Pluto TV and BET+ streaming platforms;
- development of video games and immersive content: Skydance Games and Skydance Interactive;
- TV channel broadcasting: operation of Paramount Television, CBS Television Network, CBS Stations, and Skydance Television stations.
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