Updated on: December 8, 2025 / 7:59 PM EST / CBS News
Paramount Skydance on Monday launched a hostile all-cash tender offer worth $108.4 billion to acquire all of Warner Bros. Discovery, coming three days after Netflix agreed to buy Warner’s streaming and movie assets in a deal valued at $82.7 billion.
Paramount Skydance CEO David Ellison said shareholders “deserve an opportunity to consider our superior all-cash offer for their shares in the entire company,” adding the public proposal matches terms previously given to Warner Bros. Discovery’s board in private and offers “superior value, and a more certain and quicker path to completion.” Paramount Skydance is the parent company of CBS News.
Paramount said its offer covers the entire Warner Bros. Discovery business, including cable channels such as CNN, TBS, TNT and The Food Network, and argued the transaction would face an easier regulatory path than Netflix’s proposal. The bid also factors in Warner Bros. Discovery’s debt, which was more than $33 billion as of Sept. 30, according to regulatory filings. The $30-per-share cash offer equals nearly $78 billion for equity; with debt included, the deal totals about $108.4 billion. By comparison, Netflix’s bid equates to roughly $72 billion excluding debt.
The offer is backed by the Ellison family — David Ellison’s father is Oracle founder Larry Ellison — and RedBird Capital, and includes financing commitments from outside partners. A regulatory filing lists Affinity Partners, the private equity firm led by Jared Kushner, and Saudi Arabia’s Public Investment Fund among financiers. Those outside investors have reportedly agreed to forgo governance rights, including board seats, in a combined company.
Potential antitrust and political hurdles
Analysts have warned the Netflix-Warner combination could draw antitrust scrutiny because Netflix is the largest streaming platform and the acquisition of HBO Max services and customers could reduce competition. Jeffrey May of Wolters Kluwer Legal and Regulatory said the deal “raises red flags” given Netflix’s market position.
President Trump also suggested the Netflix-Warner deal could pose problems because of the combined company’s size and said he would be involved in any decision about federal approval. Usha Haley, a Wichita State University professor, noted the political connections surrounding the bids, including Larry Ellison’s support for Trump.
Netflix declined to comment publicly on Paramount Skydance’s rival offer, and Warner Bros. Discovery did not immediately respond to requests for comment. At a UBS conference Monday, Netflix co-CEOs Ted Sarandos and Greg Peters said they remained confident their deal would close and emphasized Netflix’s commitment to creating U.S. jobs. Blair Levin of New Street Research warned that public involvement by Trump could complicate any government review, potentially inviting litigation and delays.
Market reaction and timing
Shares of Warner Bros. Discovery rose $1.65, or 6.3%, to $27.72 in early trading Monday. Paramount Skydance’s stock gained 78 cents, or 5.8%, to $14.14, while Netflix shares fell about 4.9% to $95.64. Paramount Skydance’s tender offer is set to expire on Jan. 8, 2026, unless extended.
Impact on streaming competition
Netflix, with more than 300 million subscribers, is the world’s largest streaming service. Warner Bros. Discovery’s streaming platforms, including HBO Max and Discovery+, have about 128 million subscribers, putting them fourth behind Netflix, Amazon Prime Video, and Disney/Hulu; Paramount+ ranks around fifth with about 78 million subscribers.
Critics of consolidation, including Sen. Elizabeth Warren, warned the Netflix-Warner deal would create a dominant streaming player controlling a large share of the market. Netflix may argue that other video platforms such as YouTube should be considered when assessing market share.
Background and next steps
Warner Bros. Discovery earlier announced plans to split its cable networks from its streaming and studios business, and in October said it had attracted interest from buyers for all or parts of the company. The Wall Street Journal reported multiple suitors, including Netflix, Paramount Skydance and Comcast.
Investors and analysts said Warner shareholders face a clear choice between Paramount Skydance’s straightforward $30-per-share cash offer for the whole company and Netflix’s slightly lower, more complex proposal that contemplates a spin-off of some linear networks and raises antitrust questions. “Shareholders will have to choose between [Paramount Skydance’s] straight $30-a-share cash offer and Netflix’s slightly lower, more complex bid with a linear networks spin-off, both carrying serious antitrust questions,” said David O’Hara of MKI Global Partners.
Edited by Alain Sherter. The Associated Press contributed to this report.