Paramount Skydance has announced plans to merge Paramount+ and HBO Max into a single streaming platform following its acquisition of Warner Bros. Discovery (WBD), creating a major competitor in the consolidated streaming market.
The combined service is projected to have a subscriber base of over 200 million, positioning it as a significant player in the industry. The acquisition deal is estimated at $110 billion, bringing together a vast array of film, TV, and news assets under one corporate entity.
CEO David Ellison stated that HBO’s identity and creative vision as a studio would remain unchanged. “Our viewpoint is HBO should stay HBO,” Ellison said during an investor call on Monday, committing to maintaining a robust theatrical slate with 30 annual theatrical releases across both studios.
Ellison described the merger as pro-competition, pro-consumer, and pro-creative community, following a trend of consolidation seen with other platforms, such as the combination of Disney+ and Hulu. However, the U.S. Department of Justice is expected to scrutinize the merger over media concentration and competition concerns.
California Attorney General Rob Bonta vowed to rigorously review the acquisition, and industry observers warn the merger may lead to significant job cuts. Concerns have also been raised regarding editorial independence due to the Ellison family’s political connections.
Despite these concerns, Ellison voiced confidence that the transaction would move forward smoothly, stating that the merger would create a stronger Hollywood and global production ecosystem.
