Paramount has outbid Netflix and, pending regulatory approval, is set to acquire Warner Bros. Discovery, including HBO Max.
The takeover of Warner Bros. Discovery by Netflix had appeared – controversial though it was – to be a done deal. However, it has now become clear that Paramount has ultimately surpassed Netflix with what is being described as a “hostile” bid. Reports suggest that the U.S. government may also have played a role in the outcome. One of the key assets within Warner Bros. Discovery is the well-known and often government-critical news channel CNN. Paramount, by contrast, is said to take a different stance, with its owner/CEO aligning more closely with the current Republican administration.
Paramount’s CEO has previously indicated that HBO Max – part of the Warner Bros. Discovery portfolio – could be phased out and replaced by Paramount+. Should that scenario materialise, HBO Max subscribers would likely need to take out a new subscription. Early adopters in particular, many of whom benefit from significant introductory discounts, could find themselves at a disadvantage. The future of CNN under new ownership also remains uncertain.
Before the deal is finalised and formally completed, several months may still pass. More information can be found in reports including coverage by CNN itself.