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.
The Justice Department said Friday that the transaction is “not likely to result in harm to competition or American consumers.” Officials cited reviews of streaming, linear television and theatrical release markets.
In a statement, the Antitrust Division noted that the deal would increase competition across the media ecosystem. It highlighted Paramount and Warner Bros. Discovery as late entrants to streaming compared with Netflix, Amazon Prime and Disney Plus.
Paramount welcomed the approval. A spokesperson said the deal is pro-competitive and positions the company to compete against dominant technology platforms.
Sen. Elizabeth Warren criticized the move. She called it terrible news for Americans concerned about control of content and pricing. State attorneys general in California and other states are preparing a lawsuit to challenge the merger.
