The $8 Billion Skydance‑Paramount Global Deal Is Finally Closing—What Comes Next
— The Paramount–Skydance merger signals massive restructuring, leadership change, and controversial media mandates with deep implications for journalism and entertainment.
LOS ANGELES — After gaining Federal Communications Commission approval, Skydance Media is preparing to finalize its $8 billion merger with Paramount Global, marking a watershed moment for the media landscape.
When the deal closes—expected around Aug. 7, 2025—control will shift from Paramount controlling shareholder Shari Redstone to tech magnate Larry Ellison and his son David Ellison, who is set to become CEO of the combined company. The new entity may operate under the name Paramount Skydance Corporation, with Jeff Shell (ex‑NBCUniversal chief) joining in a senior leadership role.
Skydance has pledged to deliver $2 billion in cost savings, implying significant restructuring across CBS, MTV, Paramount Pictures, and other holdings—including layoffs and divestitures. Analysts warn this will be “the most dramatic change since the company’s inception.” Meanwhile, Paramount+ has recently grown to 79 million subscribers, with strong momentum from NFL rights and hit originals—though profitability pressure remains without the NFL.
Regulatory approval came with strings: Skydance must eliminate all DEI (diversity, equity & inclusion) programs and appoint a newsroom ombudsman, tasked with enforcing "unbiased journalism" at CBS News for at least two years. FCC dissenters raised concerns that the mandates represent excessive government interference in editorial independence, potentially infringing on First Amendment protections.
The merger was viewed by critics as politically charged. Paramount paid $16 million to settle a lawsuit from former President Trump over a disputed “60 Minutes” interview, a move widely interpreted as pressuring regulators and coinciding with the cancellation of Stephen Colbert’s late-night show on CBS. Colbert has since mocked the new company’s proposed ticker (“PSKY”) and programming direction, while veteran journalist Connie Chung warned publicly that the merger could mark “the end” of CBS as a bastion of independent journalism.
As the deal closes, Wall Street will be watching how the new leadership transitions, the fate of Paramount’s cable networks and streaming assets, and how the revamped CBS News manages public trust under its new governance framework. The broader question: can Paramount Skydance deliver growth without sacrificing journalistic credibility?
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