Updated Dec. 8, 2025 — Paramount Skydance on Monday launched a hostile, all-cash tender offer valuing Warner Bros. Discovery at about $108.4 billion, challenging a rival agreement announced three days earlier in which Netflix agreed to buy Warner’s streaming and film assets in a deal reported at $82.7 billion.
Paramount Skydance said its public $30-per-share proposal — the same terms it reportedly offered privately to Warner’s board — gives shareholders a straightforward cash alternative for the entire company. CEO David Ellison said shareholders should be able to consider what the bidder described as “superior value” and a faster, more certain path to closing. Paramount Skydance is the parent company of CBS News.
The offer covers all of Warner Bros. Discovery’s businesses, including cable networks such as CNN, TBS, TNT and The Food Network. Paramount Skydance pointed to what it expects would be an easier regulatory path than the Netflix proposal. The $30-per-share bid represents roughly $78 billion for equity; when Warner’s more-than-$33 billion in debt (as of Sept. 30) is included, the transaction totals about $108.4 billion. By comparison, Netflix’s proposal is estimated at about $72 billion on an equity-only basis.
The bid is backed by the Ellison family and RedBird Capital and includes financing commitments from outside partners. A regulatory filing names Affinity Partners, the private equity firm led by Jared Kushner, and Saudi Arabia’s Public Investment Fund among the financiers. Those outside investors have reportedly agreed to forgo governance rights, including board seats, in a combined company.
Antitrust and political questions
Analysts and lawmakers have warned that a Netflix acquisition of Warner’s streaming assets could trigger intense antitrust scrutiny because Netflix is already the largest global streaming service. Observers say combining Netflix with HBO Max and Discovery+ could materially alter competitive dynamics in streaming.
The competing bids have also drawn political attention. Former President Donald Trump suggested the Netflix-Warner deal could raise issues because of the size of the combined company and said he would be involved in any federal approval decisions, while academics and commentators have noted the political connections surrounding some financiers. Wichita State University professor Usha Haley noted links between bidders’ backers and political figures, and critics have highlighted those ties in public debate.
Netflix declined to comment publicly on Paramount Skydance’s rival offer, and Warner Bros. Discovery had not immediately responded to requests for comment. At a UBS conference Monday, Netflix co-CEOs Ted Sarandos and Greg Peters said they remained confident their agreement would close and stressed Netflix’s commitment to U.S. jobs. Some analysts warned that prominent public involvement could complicate regulatory review and invite delays or litigation.
Market reaction and timing
Shares of Warner Bros. Discovery rose $1.65, or about 6.3%, to $27.72 in early trading Monday after the bid was announced. Paramount Skydance’s stock climbed about 78 cents, or 5.8%, to $14.14, while Netflix shares fell roughly 4.9% to $95.64. Paramount Skydance’s tender offer is set to expire on Jan. 8, 2026, unless extended.
Streaming landscape and stakes for shareholders
Netflix has more than 300 million subscribers worldwide, making it the largest streaming service. Warner Bros. Discovery’s combined streaming platforms, including HBO Max and Discovery+, are estimated to have about 128 million subscribers, putting the company behind Netflix, Amazon Prime Video and the Disney/Hulu portfolio; Paramount+ is estimated at roughly 78 million subscribers.
Sen. Elizabeth Warren and other critics of industry consolidation have warned that a Netflix-Warner tie-up would create an even larger streaming dominant player. Netflix’s defense may point to other large video platforms, such as YouTube, when arguing about market definition and competitive dynamics.
Warner Bros. Discovery had earlier signaled plans to separate its cable networks from its streaming and studios operations and in October said it had attracted interest from buyers for all or parts of the company. Reports have named multiple suitors, including Netflix, Paramount Skydance and Comcast.
Investors and analysts say Warner shareholders now face a clear choice between Paramount Skydance’s simple $30-a-share cash offer for the whole company and Netflix’s somewhat lower, more complex proposal that contemplates a spin-off of some linear networks and carries potential antitrust concerns. “Shareholders will have to decide between a straightforward cash bid and a more complicated transaction that raises regulatory questions,” said David O’Hara of MKI Global Partners.
The situation remains fluid as financing commitments, regulatory reviews and shareholder responses develop. The competing proposals and the political and legal scrutiny they could draw introduce uncertainty about the timing and ultimate outcome of any sale.