Paramount completes blockbuster £80bn takeover of Warner Bros - sparking fears of higher prices and job losses

Updated: 10:33 EDT, 6 October 2026 Paramount Skydance has completed its blockbuster $110billion (£80billion) takeover of Warner Bros Discovery – sparking fears of higher prices for viewers and job losses in Hollywood.The deal brings together the Paramount studio behind films including The Godfather, Titanic and Top Gun, and Warner Bros, whose box office hits range from The Wizard of Oz and Casablanca to Barbie and Harry Potter.The new entertainment giant – which has been named Skydance and will be led by chief executive David Ellison – also houses networks such as CBS and CNN and streaming services Paramount+ and HBO Max.Shares of the combined company – which spans film, TV and news – moved to the New York Stock Exchange from Nasdaq on Tuesday to trade under the ticker ‘SKYD’.Paramount won the race to buy Warner Bros to create a new Hollywood giant - Skydance'Today is a historic day, not just for Skydance but for our entire industry,' said Ellison.‘From the start, our ambition was to bring these two storied studios together and create a stronger competitor, with the talent, resources, and reach to tell great stories in every genre, on every platform, for audiences everywhere. Now that ambition is a reality.'But there are fears that streaming prices may rise at Warner Bros’ HBO Max, home to The Sopranos and House of the Dragon, and Yellowstone host Paramount+.Mike Proulx, research director at Forrester, warned the ($80billion) £70billion of debt used to finance the deal could result in higher prices for subscribers.‘It’s hard to imagine that streaming price hikes aren’t in Skydance’s future,’ he said.The deal was finally completed after settlements with a coalition of US states led by California and a Hollywood writers union removed the main legal barriers to the merger.However, concerns remain about job losses among actors, writers and those working behind the scenes in Hollywood.Staff also fear the deal will lead to cuts at US television news channels CNN, which was owned by Warner Bros, and Paramount’s CBS.Ellison, the son of billionaire Oracle founder and Donald Trump ally Larry Ellison, said the Skydance name was chosen to retain the individual identities of Paramount and Warner Bros studios rather than combining them under a new brand.Analysts, however, said the name reinforces the extent of Ellison's control, highlighting how some of Hollywood's most iconic brands now answer to him and how he has a platform to impose his strategy and culture.In just 16 years, Skydance has gone from an independent studio to the centre of one of Hollywood's biggest power plays. Founded in 2010, it built its reputation as a financial backer and producer of Paramount's blockbuster Top Gun: Maverick.After merging with Paramount last year, Skydance set its sights on Warner Bros, entering a heated bidding contest with Netflix before emerging victorious.DIY INVESTING PLATFORMSAJ BellAJ BellEasy investing and ready-made portfoliosHargreaves LansdownHargreaves LansdownFree fund dealing and investment ideasinteractive investorinteractive investorFlat-fee investing from £4.99 per monthFreetradeFreetradeInvesting Isa now free on basic planTrading 212Trading 212Free share dealing and no account feeAffiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.Compare the best investing account for you