Paramount Skydance Beats Netflix in $110B Fight for Warner Bros. Discovery

Inside the $111 billion power play that beat Netflix and would bring Harry Potter, DC, and Game of Thrones under Paramount’s umbrella.

Paramount is Now the Warner Bros. Discovery Owner After $111B Deal
Photo by Jonathan Raa/NurPhoto via Getty Images

Paramount has officially secured control of Warner Bros. Discovery, closing a deal valued at approximately $111 billion and ending a months-long bidding war that reshaped the media landscape.

According to Variety, the final agreement came after Paramount increased its offer to $31 per share for the entire company—surpassing Netflix’s earlier bid and prompting Warner’s board to declare it a “superior proposal.”

Netflix had a contractual window to respond but chose not to match the revised terms. Instead, co-CEOs Ted Sarandos and Greg Peters informed Warner leadership that the company would step away.

“We’ve always been disciplined, and at the price required to match Paramount Skydance’s latest offer, the deal is no longer financially attractive,” they said in a joint statement.

They added that the acquisition “was always a ‘nice to have’ at the right price, not a ‘must have’ at any price.”

That decision cleared the path for Paramount, led by David Ellison, to finalize the acquisition. The deal includes Warner Bros. Discovery’s full portfolio—film and television studios, streaming platforms, and cable networks—bringing together two major media companies under one umbrella.

Netflix’s original agreement focused on acquiring Warner’s studio and streaming assets for $27.75 per share, leaving the company’s cable networks to be separated into a standalone entity.

Warner’s board initially backed Netflix’s proposal, citing its financial stability and a structure it viewed as lower risk. The streamer also agreed to a $5.8 billion termination fee if regulatory approval could not be secured.

At one point, Netflix explored converting its offer into an all-cash deal to strengthen its position as Paramount continued to escalate.

Paramount, however, did not retreat. It launched a hostile bid for the entire company, offering $30 per share and revising its proposal multiple times. That included a $40 billion equity guarantee from Larry Ellison, increased transparency around financing, and a matching breakup fee.

Paramount also pursued legal action to obtain more information about Warner’s agreement with Netflix, while continuing to pressure the board and shareholders.

Warner rejected several of those bids, raising concerns about financing structure, debt levels, and operational disruption. The company warned that a Paramount-led merger could lead to workforce reductions tied to projected cost savings and even flagged the risk of employee departures during the transition period.

Despite those concerns, Paramount continued to increase its offer. Over a seven-day negotiation window, the company raised its bid to $31 per share and added a “ticking fee” to compensate shareholders for potential regulatory delays. That final adjustment shifted the board’s position.

Netflix declined to respond with a higher bid. A source familiar with the decision said there was little incentive to wait: “If you know you’re not going to match an offer on day one, why wait until day four?”

With Netflix out, Paramount completed the acquisition and will now assume control of Warner Bros. Discovery’s assets, including franchises such as Harry Potter, Game of Thrones, and the DC Comics universe.

The focus now turns to execution. Paramount has indicated it plans to reduce debt and integrate overlapping operations, while also expanding its streaming and theatrical output.

The combined company will carry significant financial obligations and will be tasked with managing both growth initiatives and cost reductions.

The transaction marks another ownership shift for Warner Bros. Discovery’s assets in recent years and represents one of the largest media deals to date.

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