A new power struggle has erupted in Hollywood after Paramount Skydance launched an unsolicited, all-cash bid of $30 per share to acquire all of Warner Bros. Discovery (WBD), a takeover valued at roughly $108 billion.
The move directly challenges Netflix’s recent agreement to purchase a smaller slice of WBD’s business and shifts the competition for one of the largest entertainment portfolios into a more aggressive phase.
Paramount’s surprise proposal comes only a week after Netflix secured an $83 billion deal for WBD’s studio and streaming divisions, including HBO, HBO Max, and the Warner Bros. film studio. Netflix’s agreement excluded WBD’s traditional cable networks, but Paramount is now attempting to seize the entire company outright, positioning its offer as superior both in scope and price.
Paramount Counters Netflix With a Bigger, Broader Play
Netflix’s earlier offer, priced at $27.75 per share, focused narrowly on the premium content engines that have historically powered WBD’s global reputation. Cable channels were left out of the transaction.
Paramount Skydance is taking the opposite approach. Its proposal absorbs everything:
- •Streaming operations
- •Film studio
- •HBO networks
- •Cable channels
- •All remaining divisions
And it is sending the message straight to WBD shareholders, bypassing executives entirely. Paramount’s last bid was nearly $24 per share in October 2025, a number the board rejected. The new $30 offer dramatically raises the stakes and puts pressure on WBD leadership to respond.
Breakup Fees, Regulatory Fears, and the Road Ahead
If WBD decides to walk away from its existing agreement with Netflix and accept Paramount’s richer proposal, the company must pay a $2.8 billion breakup fee to Netflix. That financial penalty adds another layer of complexity to an already delicate negotiation.
Whichever deal moves forward, one hurdle is guaranteed: regulators. Consolidating two major entertainment companies, not to mention Netflix’s expanding dominance, will invite deep scrutiny from federal authorities.
Even President Trump acknowledged the antitrust concerns when asked about Netflix’s attempt to acquire Warner Bros. He noted that the company already commands “a very big market share” and that absorbing Warner Bros. would cause that share to “go up a lot.” Trump added that economists and regulators will need to weigh in, emphasizing he will “be involved in that decision,” a clear signal that the review will be exhaustive.
A Corporate Clash With Industry-Shifting Consequences
The outcome of this bidding war could reshape the entertainment landscape for a generation. Netflix is attempting to secure more premium content as competition intensifies, while Paramount Skydance aims to transform itself into a top-tier global entertainment powerhouse with a single bold acquisition.
Whether WBD opts for a full sale, sticks with Netflix’s partial deal, or pursues a breakup into multiple companies, the decisions made in the coming weeks may redefine the streaming hierarchy and determine which studio becomes Hollywood’s dominant force for the next decade.