California Attorney General Probes Paramount Warner Bros. Discovery Merger

California Attorney General Rob Bonta said Sunday that his office is investigating the proposed merger between Paramount and Warner Bros. Discovery.

Bonta stated that the transaction has not cleared regulatory scrutiny and that there are red flags in the air everywhere.

Larry Ellison donated roughly $45 million to a political nonprofit supporting Donald Trump’s 2024 election efforts. He has since given additional millions to groups backing Trump, including some funds directed to legacy initiatives in Washington.

Oracle was selected as the architectural backbone for a $500 billion plan to build artificial intelligence data centers shortly after Trump’s second inauguration. The company also joined an investor group that gained control of TikTok’s U.S. operations in a 2025 deal.

Both the Ellison family and the Trump White House have denied any improper action or collusion in these matters.

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Illustration of the Department of Justice approving the Paramount-Warner Bros Discovery merger.
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Justice Department Approves Paramount Warner Bros. Discovery Deal

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The Department of Justice approved Paramount's $111 billion acquisition of Warner Bros. Discovery on Friday. The decision clears a key regulatory hurdle for the merger.

FCC Commissioner Anna Gomez has called for a thorough review of foreign investments in Paramount's proposed merger with Warner Bros. Discovery. The deal would result in 49.5% foreign ownership, including significant stakes from Saudi Arabia, Qatar, and Abu Dhabi. Gomez expressed concerns over national security and press freedom.

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Paramount Skydance has filed with the FCC stating that the merged Paramount-Warner Bros. Discovery will see Middle Eastern funds holding 38.5% of the equity. Saudi Arabia’s Public Investment Fund will take a 15.1% stake, the UAE’s sovereign wealth fund 12.8%, and Qatar Investment Authority 10.6%. Foreign investors will lack board seats or voting shares, with control remaining with the Ellison family and RedBird Capital Partners.

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