(The Epoch Times)—The U.S. Department of Justice (DOJ) closed its antitrust investigation into Paramount Skydance’s proposed acquisition of Warner Bros. Discovery on Friday, opening the door for the merger to proceed.
According to a DOJ news release, the agency’s antitrust division found that the merger is not likely to result in harm to competition or to American consumers regarding streaming video on demand, linear television, and studio development, production, or films for theatrical release.
The eight-month investigation involved a review of more than 2 million documents provided to the DOJ by both Paramount and Warner Bros.
Ultimately, the DOJ found Paramount’s proposed merger could “increase competition across the media and entertainment ecosystems, with benefits for American consumers and workers.”
Shareholders of Warner Bros. overwhelmingly approved of the $110 billion acquisition in April.
“With Paramount, we look forward to creating an exceptional combined company that will expand consumer choice and benefit the global creative talent community,” said Samuel A. Di Piazza Jr., chair of the Warner Bros. Discovery board of directors.
Paramount’s final offer to Warner Bros. was an all-cash bid of $31 per share, containing several other provisions that included an accelerated ticking fee of 25 cents per share per quarter if the deal isn’t closed by Sept. 30. The final offer also included a regulatory termination fee of $7 billion.
Warner Bros. has been a constant target for acquisition in the media and entertainment industry. In December 2025, Netflix attempted to acquire Warner Bros., which was met with a competing offer by Paramount.
Netflix eventually abandoned its proposal in February.
“The transaction we negotiated would have created shareholder value with a clear path to regulatory approval,” Netflix co-CEOs Ted Sarandos and Greg Peters said in a joint statement. “However, we’ve always been disciplined, and at the price required to match Paramount Skydance’s latest offer, the deal is no longer financially attractive, so we are declining to match the Paramount Skydance bid.”
Paramount is still searching for the European Union’s approval for the Warner Bros. takeover.
Like the Justice Department, under the EU Merger Regulation, officials assess whether a large acquisition proposal could significantly reduce competition.
EU regulators have set a preliminary deadline of July 7 to decide whether to approve the deal or launch a more in-depth investigation.
At the end of 2025, Warner Bros. Discovery reported 131.6 million global streaming subscribers and generated $37.3 billion in revenue, according to financial results released on Feb. 26.
