Skydance to acquire Warner Bros. Discovery in a $110‑$111 billion merger forming a combined media giant

Skydance, led by David Ellison, announced the acquisition of Warner Bros. Discovery, creating a new entity that will operate under the Skydance name. The deal, valued at roughly $110 billion to $111 billion, will combine Paramount+ and HBO Max, as well as networks such as CBS and CNN, and a portfolio of major film franchises. A settlement with 12 state attorneys general was approved, allowing the merger to close on October 6. The combined company will face obligations to produce a set number of movies and invest in domestic filming.

The merger creates one of the largest media combinations, giving the new Skydance platform a subscriber base of over 200 million and control of valuable IP, which could reshape competition in streaming and content production. The settlement imposes a 30‑movie annual quota and a $1.5 billion domestic‑filming investment, affecting future content budgets and labor costs.

  • 1The acquisition is valued at $111 billion according to Daily Cardinal.
  • 2Vocal.media reports the deal value as $110 billion.
  • 3The merger is expected to close on October 6.
  • 4The combined streaming services will have over 200 million direct‑to‑consumer subscribers.
  • 5A settlement requires the new company to produce 30 movies per year for the first two years, then 32 movies per year for the following three years, with a $30 million penalty per missed movie.
  • 6The settlement also mandates a $1.5 billion investment in domestic filming over five years and a $6 billion fund for laid‑off workers.
  • Deal valuation differs between sources: $111 billion versus $110 billion.

Sources