Warner Bros. Discovery has become the center of one of the most significant ownership battles Hollywood has seen in decades — one that now stretches beyond entertainment and into questions about media consolidation, political influence, and who ultimately controls both storytelling and news distribution in the United States.
After months of negotiations, Netflix has officially stepped away from talks to acquire major portions of Warner Bros. Discovery, clearing the path for Paramount Skydance — backed by Oracle billionaire Larry Ellison — to pursue ownership of the company in its entirety.
But the outcome now taking shape looks very different from where negotiations began.
How Netflix Initially Took the Lead
By late 2025, Netflix had emerged as the most advanced bidder in discussions involving Warner Bros. Discovery.
Sources familiar with negotiations indicated Netflix was focused specifically on Studios & Streaming — the parts of Warner Bros. Discovery that aligned with its long-term global strategy.
That included:
- Warner Bros. Pictures
- Warner Bros. Television
- HBO
- the Max streaming platform
The proposed agreement valued those assets at roughly $27.75 per share, or about $82–83 billion.
Netflix’s approach was deliberate. The company was not interested in legacy cable networks or traditional television infrastructure, which continue to decline industry-wide. Instead, the goal was strengthening its international subscription ecosystem through one of Hollywood’s most valuable content libraries.
Heading into the end of 2025, industry observers widely viewed Netflix as having positioned itself closest to completing a deal structure.
Paramount Re-Enters — And Changes the Fight
That trajectory shifted when Paramount, newly reshaped through its merger with Skydance Media, aggressively pushed back into negotiations.
Rather than targeting select divisions, Paramount pursued full ownership of Warner Bros. Discovery.
Over several weeks, Paramount increased pressure with improved financial terms, ultimately signaling willingness to pay closer to $31 per share, valuing the company near $110 billion.
Unlike Netflix’s targeted acquisition, Paramount’s proposal included everything:
- film and television studios
- streaming platforms
- cable networks
- sports broadcasting rights
- and national news organizations.
The expanded offer reframed the conversation for Warner Bros. Discovery’s board, which is legally obligated to prioritize shareholder value.
Netflix declined to match the higher valuation required for a full-company purchase and ultimately withdrew.
Once Netflix exited, the competitive bidding phase effectively ended, leaving Paramount as the primary path forward pending regulatory approval.
The Ellison Factor Behind Paramount’s Expansion
Paramount’s renewed bid is closely tied to the financial backing behind Skydance Media CEO David Ellison.
David Ellison is the son of Larry Ellison, founder of Oracle and one of the most powerful figures in global technology infrastructure.
Oracle operates far beyond entertainment, providing enterprise software and cloud systems used by corporations, governments, and institutional networks worldwide.
This introduces a notable shift in Hollywood ownership dynamics: infrastructure-level technology wealth expanding directly into legacy media control.
If approved, the acquisition would unite:
- century-old Hollywood studios
- prestige television brands like HBO
- global streaming distribution
- and major American news operations
under ownership supported by one of the world’s most influential technology fortunes.
Political Context Surrounding the Deal
The negotiations also unfolded amid unusually visible political attention toward media companies.
During the acquisition discussions, Donald Trump publicly criticized Netflix and called for the removal of Netflix board member Susan Rice, a former national security advisor, while talks were ongoing.
At the same time, Netflix executives reportedly engaged with officials in Washington as regulatory scrutiny surrounding large media mergers intensified.
Larry Ellison himself has long operated within Republican donor circles and has hosted political fundraisers connected to Trump.
None of this indicates direct newsroom interference.
However, media analysts note that mergers involving politically connected ownership and national news organizations typically receive heightened scrutiny because ownership structures influence leadership decisions, investment priorities, and institutional direction over time.
What Paramount Would Control
If regulators approve the acquisition, Paramount would oversee one of the largest consolidated media portfolios ever assembled.
Film and Television
- Warner Bros. Pictures
- DC Studios
- HBO Originals
- Paramount Pictures
- major franchise libraries spanning more than a century of filmmaking
Streaming
- Max
- Paramount+
- Discovery+
- BET+
- Pluto TV
Industry analysts expect eventual bundling or consolidation across services.
Television and News
Perhaps most significantly, the combined company would include:
- CNN
- CBS News
- CBS broadcast network
- MTV
- BET
- Nickelodeon
- Comedy Central
- TNT, TBS, HGTV, Food Network, and Discovery networks.
The combination places two major national news operations under one corporate umbrella.
From the “Big Six” to Five
For decades, Hollywood has largely been controlled by six dominant media conglomerates:
- Disney
- Warner Bros. Discovery
- Comcast / NBCUniversal
- Paramount
- Sony
- Amazon MGM
A Paramount acquisition of Warner Bros. Discovery would effectively reduce that structure to five major power centers controlling the majority of global film and television distribution.
Industry history shows consolidation typically leads to:
- corporate restructuring
- layoffs
- fewer competing buyers for projects
- increased reliance on established franchises
- reduced risk-taking on new creators.
Why This Moment Is Drawing Concern
The debate surrounding this deal is no longer just about Hollywood economics.
It centers on concentration.
When entertainment production, distribution platforms, and national news organizations consolidate simultaneously, ownership carries broader cultural influence.
Influence does not require censorship.
It can emerge through:
- leadership appointments
- budget decisions
- newsroom restructuring
- or shifts in which projects and perspectives receive long-term investment.
That reality is why regulators are expected to closely examine the transaction.
What Happens Next
Despite Paramount emerging as the leading bidder, the acquisition remains unfinished.
The deal must still pass:
- shareholder approval
- Department of Justice antitrust review
- international regulatory oversight
- and potential legal challenges.
Any stage could delay or alter the outcome.
The Bigger Picture
Netflix walking away didn’t simply end a deal.
It changed what Warner Bros. Discovery represents.
What began as a streaming expansion effort has evolved into a potential consolidation of legacy Hollywood studios, streaming ecosystems, and national news distribution under technology-backed ownership operating within an increasingly political media environment.
And as regulators evaluate the proposal, the central question facing the industry is no longer just who owns Hollywood — but how much cultural and informational influence should exist within a single corporate structure.