The Paramount company buys the film giant Warner Bros. The deal certainly shows some oddities. And all leads lead to the White House.
02/27/2026, 07:1502/27/2026, 07:15
Christoph Cöln / t-online
So now it’s happened. Warner Bros. Discovery (WBD), one of Hollywood’s founding studios, is acquired. This means that the cable channel HBO and, among others, the news channel CNN are also being transferred into new hands. HBO is considered a pioneer of high-quality streaming television. The Cable News Network (CNN) is considered one of the last politically independent TV stations. The deal is almost certain after Netflix withdrew from the bidding war with competitor Paramount on Thursday.
The streaming giant’s shareholders honored the decision.Image: keystone
“We have always been disciplined,” Netflix said in a statement. “However, at the price required to match Paramount Skydance’s recent offer, the deal is no longer financially attractive. “We therefore refuse to go along with Paramount Skydance’s bid,” the statement said. The streaming giant’s shareholders honored the decision, and Netflix shares rose by around ten percent in after-hours trading.
Immediately beforehand, Warner Brothers had formally classified a further improved bid from Paramount as “superior”. Nevertheless, despite the new Paramount offer, the Warner board of directors stuck to its recommendation to shareholders to accept Netflix’s takeover offer, according to a statement published after the US stock market closed. The vote on this was scheduled for March 20th.
Trump: “Will be involved in this decision”
At the beginning of December, Warner and Netflix entered into a binding takeover agreement for the studio and streaming business. A few days later, Paramount turned directly to Warner shareholders and offered $108.4 billion for the entire Warner Bros. Discovery group, including its TV channels, including CNN. Netflix recently offered almost $83 billion for the film studios and the streaming business – without the news channels.
Donald Trump welcomes media entrepreneurs to the White House.Image: keystone
Experts see the fact that Paramount Skydance is now buying the traditional Warner Bros. as a “hostile takeover”. This was preceded by significant disruptions in US politics, particularly by US President Donald Trump. He had already become involved in the ongoing saga at the beginning of December – when it became apparent that it would be taken over by Netflix. The Republican made no secret of what he thought of the process.
“She [Netflix] “We already have a very large market share,” Trump said in an interview with NBCNews. “With Warner Bros., this share increases significantly.” The president added that he would consult with economic experts and said: “I will be involved in this decision.”
Netflix has withdrawn from the bidding war for Warner Bros.Image: keystone
“Culture of fear” among America’s corporate bosses
The statement was understood by observers as a tangible threat. The president was apparently trying to influence a free market decision. In fact, independent analysts were also critical of the Netflix Warner deal. However, it would have been the task of the US competition authorities to carry out an appropriate assessment of the legality of the trade. Not the president.
But this is not the first time Trump has actively interfered in the market during his term in office. His government has already bought shares in US companies for more than ten billion dollars, including the chip manufacturer Intel and mining and steel companies. In this way, the Trump administration can have considerable influence on the relevant companies and entire industries. Trump has also established a “culture of fear” among America’s CEOs, as US economist Bennett Freeman describes it. They are eating out of the 79-year-old’s hand. Anyone who opposes him and his MAGA policies will face serious consequences. Angering Trump is bad for business, Freeman said.
And so it happened that just in December, when the deal between Warner Bros and Netflix was already a done deal, another applicant suddenly appeared on the scene again: Paramount Skydance. The company is owned by David Ellison, an American billionaire and well-known film producer in Hollywood. With his film company Paramount, Ellison has not only produced blockbusters such as “Mission: Impossible – Rogue Nation” and “Top Gun: Maverick”. He has also been the owner of the US broadcaster CBS since 2024. At that time he bought the media group Skydance, which also owns the news channel.
Water Tower is at Warner Bros. Studios in Burbank: One of the most venerable studios in Hollywood.Image: keystone
Netflix boss: “Not at any price”
CBS, known among other things for critical investigative formats such as “60 Minutes,” has not only experienced a change in leadership since the takeover. Attentive observers in the USA did not miss the fact that the once rather liberal station suddenly took a noticeable turn to the right. The station’s attitude towards US President Trump also became increasingly benevolent. Just a week ago, CBS caused a stir when it banned well-known talk show host Stephen Colbert from broadcasting an interview critical of Trump on his show. The US political magazine “The Nation” then headlined: “CBS has finally capitulated to Trump.”
Media experts attribute the station’s new, conservative course to David Ellison’s good relationship with the US President. Ellison is the son of Oracle founder Larry Ellison, a wealthy software tycoon who has been friends with Trump for decades. Ellison is said to have invested millions of dollars in financing the Trump campaign in order to secure influence in the White House. This investment could now pay off.
Because the Warner Bros deal is full of oddities. Not just the president’s blatant influence in advance. Also the fact that Paramount has now presented an offer that should at least be economically surprising. The Ellison company is paying $31 per share to take over the competitor. Netflix had only offered $27.75 per share. Expressed in absolute numbers: While the Netflix offer was 83 billion dollars (for the film studios and the streaming business), Paramount is now paying 108.4 billion dollars for the entire Warner Bros. Discovery group.
Trump: “It’s all rubbish. Everything fake»
Ted Sarandos, co-chief executive of Netflix, emphasized that they were not prepared to do crazy things. The deal is no longer financially attractive. “This transaction was always a ‘nice to have’ at the right price, not a ‘must have’ at any price.”
Netflix co-chief executive Ted Sarandos at a film premiere in New York City (archive photo).Image: keystone
But why is Paramount paying this price? The answer could again be found in the White House. Because there, Donald Trump, is someone who has been targeting the renowned broadcaster CNN for a long time. “What’s going on there is all rubbish. “It’s all fake news,” the president complained about the station’s reporting a few months ago. In December, in the midst of the takeover battle, Trump told reporters at the White House: “I think CNN should be sold. Because I am convinced that the people running CNN are either corrupt or totally incompetent.”
It’s also strange that Netflix boss Ted Sarandos was only seen in the White House hours before his company exited the bidding war. What was discussed there is not known. In any case, Democratic Senator Elizabeth Warren suspects that it may also have been about the Warner Bros. deal. “A merger between Paramount Skydance and Warner Bros. is a disaster for free competition. There is a risk of higher prices and less variety for American viewers,” said Warren in a statement. In it she also asked the question: “What did Trump say to the Netflix CEO today in the White House?”
US Senator Elizabeth Warren fears that the Warner Bros. deal could have negative consequences for consumers and journalism.Image: keystone
Does Trump want to get rid of two CNN anchors?
It is possible that if Netflix made a higher offer, the Trump-friendly Justice Department could refuse to approve the merger. That would not only have been an embarrassment for Netflix, but would also have been expensive for the company. Experts, however, assume that the competition authorities will certainly approve the takeover offer from Paramount Skydance.
It is not expected that the deal will fail. What this means for the previously independent, Trump-critical news channel CNN remains to be seen. In any case, Senator Warren had no choice but to issue a clear warning to the American people. «A handful of Trump-aligned billionaires are trying to gain control of what you see […]. With corruption allegations hovering over Trump’s Justice Department, it is now up to the American people to speak out and state attorneys general to enforce the law,” Warren said.
First of all, the billionaire Ellison family, who are close to Trump, could enforce their ideas about news journalism. As the British “Guardian” reported last November, citing anonymous sources in the White House, David Ellison’s father Larry is said to have already received a wish list from the Trump administration of CNN presenters who would be fired in the event of a takeover of the channel. Including the two presenters Erin Burnett and Brianna Keilar. They have apparently been a thorn in Trump’s side for a long time. The Guardian asked the White House for a statement at the time. The answer was: no comment.