DoJ clears Paramount Skydance-Warner deal, raising CNN fears

DoJ clears – The U.S. Department of Justice approved Paramount Skydance’s planned acquisition of Warner Bros. Discovery, clearing a key hurdle toward a deal that would dramatically expand the Ellison family’s control of American media. The decision comes as labor concerns

The U.S. Department of Justice cleared Paramount Skydance to move forward with its acquisition of Warner Bros. Discovery, approving the merger on Friday and effectively setting the stage for a major reshaping of American media.

The approval lands with a jolt for workers and viewers who have been watching CBS News under Ellison control. The timeline now moves toward a close date. with Paramount Skydance having until September 30 to complete the deal—after which Warner Bros. Discovery shareholders could face a daily ticking fee of $7 million.

In the DoJ’s press release announcing the approval, the department rejected arguments used to oppose the merger. It dismissed comparisons to Disney’s acquisition of Fox from years ago. pointing instead to the COVID-19 pandemic as an intervening factor that makes that comparison “moot.” It also brushed aside labor concerns that industry workers have widely voiced.

The approval also appears to have been influenced by scrutiny abroad. On June 9, it was reported that the United Kingdom is conducting its own investigation of the deal, a development that may have advanced the DoJ’s timeline.

Once the acquisition of Warner and its associated brands is completed. Paramount Skydance CEO David Ellison is set to run historic Warner Bros. Studios, along with HBO and its streaming counterpart HBO Max. The deal would also include CNN Worldwide. a major broadcast rights holder for the Olympics and the NHL. as well as Warner Bros. Games. Paramount Skydance already owns Paramount and its TV subsidiaries, including CBS, MTV, BET, and Nickelodeon.

The financial backbone of the transaction ties directly back to the Ellison family. David Ellison’s father, billionaire Larry Ellison, is reported to be providing $45.7 billion worth of equity to float the deal. Larry Ellison owns Oracle, a major provider of server infrastructure. Oracle has recently joined a consortium of investors for a 45% stake in the American operations of the popular short-form video platform TikTok. With this new deal, the father-son duo would build a media portfolio positioned to rival Disney’s. (Megan Ellison. Larry Ellison’s daughter. runs her own independent media venture that is not part of the father-son duo’s portfolio.).

For many observers, though, the most immediate story isn’t the corporate structure—it’s what’s already happened to CBS News. The DoJ’s approval comes on the heels of multiple CBS News scandals that have fueled fear about the future of CNN.

Larry Ellison is a personal friend of President Donald Trump, who has suggested that CNN’s current leadership is “corrupt and incompetent.” Under the Ellisons’ control of Paramount, Bari Weiss was installed as the head of CBS News, and she quickly moved to reshape the organization.

Most recently, Weiss fired 60 Minutes correspondent Scott Pelley. Pelley and the remaining 60 Minutes staffers then spoke out. with Pelley claiming the venerated news show is being “murdered” by Weiss. A 60 Minutes report on conditions in ICE facilities was scuttled in December. In May. correspondent Cecelia Vega was fired while working on a report about Francesca Albanese. UN special rapporteur on the occupied Palestinian territories. who was sanctioned by the U.S. Vega’s journalistic work was withheld from her during the firing. raising concerns that her sources might be exposed by CBS.

Under Ellison control, CBS also moved to cancel The Late Show with Stephen Colbert. Paramount Skydance said the decision was purely motivated by financial realities, but it came after a Colbert segment that pointedly criticized a $16 million settlement paid to President Trump by CBS.

Those changes have become part of a wider warning from the entertainment industry. In May. more than 5. 500 movie and television industry professionals signed an open letter warning that the acquisition of Warner by Paramount would “threaten the sustainability of the entire creative community.” The signatories include Glenn Close. Jane Fonda. Joaquin Phoenix. Kevin Bacon. and many other household Hollywood names.

The Justice Department’s approval may be the biggest hurdle, but it is not the last word. State attorneys general in California and New York have indicated they intend to bring challenges against the deal. The deal is also under investigation by European officials, and there is the separate UK investigation reported on June 9.

Paramount Skydance now has until September 30 to officially close the acquisition. If the deal is not completed by then, it will become subject to a daily ticking fee of $7 million for Warner Bros. Discovery shareholders.

In the background is a question now sharpened by speed: when a company places its stamp on one flagship newsroom, what happens next to the other high-profile brands in the portfolio—especially CNN, with its global sports reach and major broadcast role in the Olympics and the NHL?

Paramount Skydance Warner Bros. Discovery Department of Justice Ellison family control CNN CBS News Bari Weiss 60 Minutes Scott Pelley Cecelia Vega David Ellison Larry Ellison Oracle TikTok investment Trump UK investigation Daily fee $7 million September 30 close date