Paramount Skydance and Warner Bros. Discovery will officially merge under the new name Skydance on Tuesday, following a settlement agreement that resolved an antitrust lawsuit brought by 12 state attorneys general. The combined entity will operate under the ticker SKYD, with Paramount and Warner Bros. retaining their distinct identities as separate studios.
The merger, valued at approximately $110 billion, was finalized after U.S. District Judge Araceli Martínez-Olguín signed a settlement agreement on Wednesday, effectively ending the legal challenge. California Attorney General Rob Bonta had filed the lawsuit in July, arguing that the deal would concentrate too much power in Paramount’s hands over theatrical releases, big-budget films, and basic cable channels. Paramount Skydance denied these claims, asserting that the merger would enhance competition in Hollywood and benefit consumers.
David Ellison, CEO of Paramount Skydance, announced the new name in an X post on Friday, framing it as a way to preserve the legacies of both Paramount and Warner Bros. “Paramount and Warner Bros. shaped over a century of culture,” Ellison wrote. “By combining them, we aren’t rewriting history — we’re equipping these iconic studios with a more powerful engine. Together, we are Skydance: a creative-first home for bold, quality storytelling.”
The merged company will oversee a portfolio of major media assets, including two film studios, HBO, Paramount+, and television networks such as CBS, CNN, and dozens of others. Upon closing, Ellison and his father, Larry Ellison, will oversee the combined entity, which plans to release 35 films in 2025, according to Rentrak data.
Background and Context
The merger marks a rapid consolidation in Hollywood, following Paramount’s acquisition of Skydance in August 2025 and its subsequent bid for Warner Bros. Discovery. The deal faced a bidding war before an agreement was reached in February 2025. The settlement of the antitrust lawsuit cleared the final legal hurdle, allowing the merger to proceed as scheduled.
Ellison emphasized that the new name was chosen to avoid overshadowing either Paramount or Warner Bros., stating, “We never wanted a new corporate identity to diminish, alter or overshadow either one.” The combined company will retain both studios as distinct brands while operating under the Skydance umbrella.
Industry Impact
The merger creates one of the largest media conglomerates in Hollywood, with control over multiple film franchises, streaming platforms, and cable networks. Analysts suggest the deal could reshape distribution dynamics in the entertainment industry, though the full implications remain to be seen as the merger takes effect.