AEW’s future with Warner Bros. Discovery just got a major update, as Paramount Skydance’s $111 billion bid for WBD has cleared a huge federal hurdle.
According to Politico, the Justice Department’s Antitrust Division has signed off on Paramount’s proposed merger with Warner Bros. Discovery. The approval is a big step forward for the deal, which has been under major scrutiny because it would combine two Hollywood giants and reshape the media landscape around film, television, cable, and streaming. DOJ officials reviewed the transaction and decided not to challenge it. Even more importantly, the merger was approved without requiring Paramount to sell off assets or agree to major conditions.
“After an extensive review, DOJ officials determined the transaction did not pose a threat to competition and declined to challenge it, said the people, who were granted anonymity to discuss sensitive matters. The department approved the merger without requiring any divestitures, behavioral remedies or concessions, according to one of the people.”
That matters for AEW because Tony Khan has previously been optimistic about AEW staying connected to WBD if the Paramount-WBD deal goes through. AEW’s television future is still tied to WBD right now, so any major change involving the company’s ownership could have a direct impact on Dynamite, Collision, and AEW’s long-term media home.
The deal would bring together Paramount’s assets with Warner Bros. Discovery’s massive library and platforms, including CNN and HBO Max. Politico noted that HBO Max would be combined with Paramount+ to create a streaming offering with around 200 million subscribers.
“The decision, expected to be announced Friday, paves the way for Paramount to combine with the entertainment and media company behind a vast film and television studio, CNN, and the HBO Max streaming service, which would be combined with Paramount+ to create a new offering boasting about 200 million subscribers.”
Still, this does not mean the merger is completely out of danger. California Attorney General Rob Bonta is still reviewing the deal and could potentially sue to block it, even after federal regulators gave their approval: “The DOJ’s approval does not end the merger’s legal scrutiny.” Bonta’s office made it clear earlier this week that the state-level review is still active: “The Paramount acquisition of Warner Brothers remains an active investigation.”
The merger has also drawn concern from Hollywood workers and entertainment industry critics, who fear it could lead to layoffs, fewer opportunities for creators, and even more power concentrated among fewer major media companies. Those concerns have only grown because Paramount has already talked about more than $6 billion in expected synergies within three years of the deal closing.
The DOJ approval also comes after a heated public fight involving Netflix. Paramount recently accused Netflix of running a “scorched-earth campaign” to damage the WBD deal, claiming the streaming giant was encouraging opposition from groups like the Teamsters. Netflix denied the accusation and called it absurd.
For AEW, the update is simple but important: the Paramount-WBD merger just got much closer to reality, but it is not fully locked in yet. Federal regulators may be stepping aside, but California and other critics could still create more roadblocks before the deal officially closes.
AEW’s current WBD relationship has not changed yet, but this approval makes the bigger media picture a lot more real. If Paramount and WBD do combine, Tony Khan may soon be dealing with a much different company on the other side of the table — and that could shape AEW’s television and streaming future in a big way.
What do you think the Paramount-WBD merger could mean for AEW’s future? Share your thoughts in the comments below.
