The details of Paramount’s deal with 12 states settling their antitrust case — paving the way for its takeover of Warner Bros. Discovery, the biggest merger in Hollywood history — have been revealed.
David Ellison said in a statement: “We are grateful to Attorney General Bonta and his fellow AGs, as well as the WGA, for engaging in good faith to find a path forward to a resolution that serves all parties, and to Governor Newsom for his support throughout this process. Our shared aim was an outcome that best serves consumers, workers and — most importantly — the creative community so vital to the art of visual storytelling. We’re confident this agreement does exactly that, memorializing a series of commitments that include 30+ films annually and expanded U.S. film production to help revitalize our industry here at home.”
The merged Paramount-Warner Bros. will face penalties if it doesn’t meet those requirements, including potential divestiture of assets.
Here are the key points from the settlement, which came after a marathon weekend of negotiations between the two sides:
Movie commitments: Paramount-Warner Bros. is required to release minimum numbers of annual film releases in both the wide release and “tentpole” categories, among others; spend at least $300 million more annually on film production in the United States than was spent in 2025; and agree to commitments regarding pricing to theaters.
Maintaining both WB and Paramount lots: The company must maintain the production lots of both Paramount and Warner Bros.
Employment commitments: The company must honor collective bargaining agreements and commit funds for workforce training.
