Opponents Decry Settlement Over Warner Bros. Discovery-Paramount Merger

Opponents of the Warner Bros. Discovery-Paramount megamerger reacted with dismay on Monday as 12 states that had sued to block the transaction reached a settlement with David Ellison’s company. The agreement promises greater U.S. film production spending, attempts to curb ticket-price increases, investment in workforce training and the continued operation of both Warner Bros. and Paramount studio lots.

The American Economic Liberties Project, a nonprofit focused on antitrust issues, issued a harsh statement accusing billionaires of using political connections to dominate media and warning of impending layoffs and higher consumer costs. A Los Angeles County-commissioned study warned that 4,500 job-years could be lost directly and 2,661 indirectly, with additional support jobs in related businesses also at risk. The Block the Merger coalition denounced the settlement as harmful to film, independent journalism and democratic health, while actor Mark Ruffalo labeled the outcome a victory for political and corporate elites. Several Hollywood unions and officials, including the DGA, IATSE, Governor Gavin Newsom and Mayor Karen Bass, had previously pushed for a quicker resolution, and the Directors Guild of America praised the settlement for addressing key concerns.