Paramount Seeks to Acquire Warner Bros., Shaking Up Hollywood

Considering a $40 Billion Cash Acquisition
A Media Giant Emerges if HBO and CNN Are Included

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Reports have emerged that "Paramount Skydance," launched last month through the merger of Paramount Global and Skydance Media, is seeking to acquire media giant Warner Bros. Discovery.

The Wall Street Journal, citing sources on September 11 (local time), reported that "Paramount Skydance, backed by the Ellison family, is preparing a cash-focused acquisition proposal." CNBC also reported, "They are working with investment banks to carry out specific tasks." However, it is known that Warner Bros. has not yet received a formal proposal.

The likelihood of the deal closing remains uncertain. Warner Bros.'s market capitalization stands at around $40 billion (approximately 55.6 trillion won), more than double that of Paramount Skydance. The Wall Street Journal analyzed, "This is a preemptive move in anticipation that big tech companies with significant financial resources, such as Amazon and Apple, could enter the streaming sector."

If Warner Bros., which owns major channels such as HBO Max, CNN, TBS, and TNT, is acquired, a dramatic transformation of Hollywood and the American media landscape would be inevitable.

Previously, U.S. regulators approved Skydance Media's acquisition of Paramount in July. As a result, Skydance founder David Ellison became chairman and CEO of the merged company, Paramount Skydance. His father, Oracle co-founder Larry Ellison, recently topped the billionaire wealth rankings, surpassing Elon Musk, following a surge in Oracle's stock price.

News of the potential acquisition prompted an immediate reaction on the New York Stock Exchange. Warner Bros. shares soared by 28.95% compared to the previous day, while Paramount Skydance also closed up by 15.55%.