Paramount and Warner Bros sued to block $110bn mega merger - BBC
A coalition of 12 U.S. states has filed a lawsuit to block the $110 billion merger between Warner Bros and Paramount, citing concerns over market competition and consumer pricing. California Attorney General Rob Bonta characterized the merger as harmful to the media landscape.
Why it matters
This legal challenge represents a major test for antitrust regulators regarding the consolidation of media conglomerates.
Share Save Add as preferred on Google Francisco Velasquez Business reporter Getty Images Warner Bros is headquartered in Burbank, California A dozen US states have joined together to block the $110bn (£85bn) merger between Warner Bros and Paramount, claiming the largest media consolidation in Hollywood history would stifle competition and raise consumer prices.
A lawsuit has been filed by 12 states, led by California, where Paramount and Warner Bros keep their headquarters and production studios.
California Attorney General Rob Bonta claimed the merger would end up harming "audiences on every sofa and movie theater seat in the US".
If it goes ahead, the new company would account for over a quarter of major film releases. Together with Disney, Universal and Sony, just four conglomerates would control 86% of that market.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in