Paramount Skydance is asking a federal judge to dismiss a lawsuit that seeks to block its proposed $111 billion acquisition of Warner Bros. Discovery, escalating a legal fight that has become a focal point in the broader debate over media consolidation.
According to Variety, the company filed a motion June 3 in federal court in Oakland, California, arguing that a lawsuit brought by five consumers fails to establish any legitimate antitrust violation. Paramount contends that the complaint relies on speculation rather than evidence and improperly attempts to turn competition law into a political battleground.
The case was launched in April by a group consisting of three Paramount+ subscribers and two individuals who say they plan to subscribe to the service. The plaintiffs claim the merger would ultimately leave consumers with fewer entertainment choices and higher costs. They are seeking a court order preventing the transaction from moving forward.
Per Variety, the lawsuit goes beyond challenging the Warner Bros. Discovery deal itself. The plaintiffs are also seeking to unwind Skydance’s acquisition of Paramount Global, which closed in August 2025. In addition, they claim they have suffered harm not only as streaming customers and moviegoers but also as consumers of television news.
Among the allegations is a claim that Skydance cultivated support within the Trump administration while pursuing regulatory approval for its earlier Paramount acquisition. The complaint argues that CBS News agreed to “align CBS News’s editorial posture” with the White House, which the plaintiffs say undermined the outlet’s independence and credibility.
Paramount has rejected those accusations and maintains that the merger would strengthen its ability to compete in an increasingly crowded media environment. The company argues that combining with Warner Bros. Discovery would create a larger entertainment business capable of investing more heavily in content and technology while competing more effectively against major streaming rivals.
In a statement provided to Variety, a Paramount spokesperson said: “As our response today makes clear, plaintiffs’ lawsuit is meritless from top to bottom. The proposed Paramount-WBD transaction raises no plausible antitrust concerns. At a time when the media industry faces unprecedented competitive pressure from dominant big tech companies, this combination will enable Paramount-WBD to better compete, invest, innovate and deliver premium content to audiences worldwide.”
Read more: Paramount Skydance Seeks EU Clearance for $110 Billion Warner Bros Discovery Deal
The company also argued that stopping the transaction would run counter to the goals of antitrust law. “Opposing this deal means opposing greater consumer choice, stronger theatrical exhibition and expanded opportunities for creators and workers. That is not what antitrust law is meant to achieve,” the spokesperson said in remarks cited by Variety.
Paramount’s court filing further states that delaying or blocking the merger would inflict financial damage on the company and reduce, rather than enhance, competition in the marketplace. Executives have repeatedly pointed to the scale of competitors such as Netflix, Amazon Prime Video and Disney+ as evidence that traditional media companies must consolidate to remain viable.
The proposed combination has nevertheless encountered resistance from multiple corners of the entertainment industry. According to Variety, thousands of filmmakers, actors and other creative professionals have signed a public letter urging regulators to scrutinize the deal, warning that further consolidation could result in job cuts and diminished competition.
Political leaders have also taken notice. Congressional Democrats have encouraged California Attorney General Rob Bonta to take a closer look at the transaction, and his office has signaled that it is reviewing the matter.
The controversy intensified this week after Makan Delrahim, chief legal counsel for Paramount Skydance, criticized opponents of the merger in an interview with the Los Angeles Times.
“There’s a lot of fear-mongering, particularly from people in Washington, D.C. They are running a political campaign. Some of these people are trying to inflict harm on this transaction really because of their own antisemitic views,” Delrahim said. He did not identify any individuals or groups he was referring to.
Source: Variety
