12 States Sue to Block Paramount-Warner Bros. $110B Merger
Original: 12 states sue to block Paramount’s $110B Warner Bros. deal
Why This Matters
The lawsuit highlights growing state-level antitrust pushback against major media consolidation in the U.S.
A coalition of 12 state attorneys general, led by California AG Rob Bonta, filed a lawsuit on July 13, 2026, to block the $110 billion merger of Paramount Skydance and Warner Bros. Discovery, alleging violations of the Clayton Act and harm to competition in film distribution and cable markets.
Twelve state attorneys general have filed a lawsuit to block the proposed $110 billion merger between Paramount Skydance and Warner Bros. Discovery (WBD). Led by California Attorney General Rob Bonta, the coalition alleges the deal violates the Clayton Act by substantially lessening competition in three areas: wide-release theatrical film distribution, top-grossing theatrical distribution, and basic cable licensing.
If approved, the states argue the combined entity would control 27% of the U.S. film distribution market, 30% of blockbuster movie distribution, and 27% of the basic cable channel market. The merger would unite Paramount+ and HBO Max, and combine TV networks including CBS, MTV, CNN, and HBO.
Bonta stated: "Consolidation here not only leads to higher prices — it also leads to fewer opportunities for important stories to come to life."
Despite the lawsuit, the deal had previously cleared the U.S. Department of Justice review and received WBD shareholder approval in April. Paramount CEO David Ellison stated in May that the transaction was on track to close by September. The 11 states joining California are Arizona, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, and Washington.