Paramount Bid Surges Ahead as CNN Becomes the Unexpected Prize in Warner Bros. Discovery War

This week’s bidding war for Warner Bros. Discovery took an unexpected turn, with CNN becoming a central focus. According to sources at the New York Post, Paramount Skydance is now leading the race to buy WB, and CNN is the key factor driving that change.

It seems strange, considering CNN’s ratings and reputation have been declining for years, and many Americans rarely encounter the network outside of airports. However, the Ellison family – Larry and David – apparently believes the network is a valuable business worth maintaining and even growing.

“They see CNN, warts and all, as a very profitable business worth saving,” The New York Post said.

A key point from Charles Gasparino’s reporting highlights what’s really happening with this deal. Paramount Skydance is the only company seriously interested in buying CNN, and that gives them a significant edge when it comes to getting approval from regulators, especially in today’s political climate.

CNN Becomes a Political Chess Piece

The report indicates President Trump is closely monitoring the sale because of CNN’s historically critical coverage of his administration.

According to a broadcast executive who spoke to the Washington Post, Donald Trump is very eager to stop CNN from reporting negatively about the Make America Great Again movement.

Sources say Donald Trump believes Larry Ellison, a significant financial supporter who is already leading changes at CBS, is the right person to fix CNN.

The Post reports his belief is that the Ellisons would manage CNN similarly to how they’re changing CBS, with Bari Weiss brought in to reduce perceived left-leaning viewpoints in its news coverage.

According to sources at the Post, if Paramount Skydance acquires CNN, David Weiss’s responsibilities would likely grow to include leading CNN’s news content.

That alone changes the regulatory landscape.

Comcast and Netflix Face the ‘Gauntlet’

While Paramount Skydance glides toward approval, other suitors face harsher scrutiny.

According to a telecom lawyer who spoke with the Post, the Ellisons’ application is expected to be quickly and smoothly approved – likely within six months – and will receive special attention throughout the process.

According to the lawyer, Brian Roberts and Netflix could face a very lengthy and intrusive review process, potentially taking up to two years. The Warner Bros. Discovery board, however, might decide the delay isn’t worthwhile.

The Biden administration is handling major tech donors and critical news outlets very differently when it comes to regulatory reviews. This difference in timing could significantly benefit Paramount, potentially making them the leading contender.

Why Paramount and CNN Make Financial Sense

It isn’t just politics. Paramount Skydance sees cash on the table.

Those familiar with the Ellisons highlight CNN’s extensive global network – with correspondents around the world and a presence in practically every airport and hotel.

Despite low ratings, CNN still produces “an estimated $500 million in yearly profits.”

Paramount thinks combining CNN and CBS News, streamlining operations, and speeding up their move to digital platforms could lead to substantial cost savings and create new opportunities for growth.

And the Ellisons can afford it — easily.

Zaslav Wants a “Number That Starts With 3”

Warner Bros. Discovery CEO David Zaslav is seeking a deal valued at around $70 billion, ideally with a price of $30 per share.

But insiders doubt he’ll get it.

Companies like Comcast and Netflix are only looking to buy parts of Warner Bros. Discovery, not the entire company. CNN is actually making their offers more difficult, not more appealing.

And selling WBD in segments risks “tax leakage,” further lowering valuation.

The Ellisons are said to think they can buy the whole company for about $27 per share, which is a much more reasonable price considering the current regulations.

Political Baggage Everywhere Except Paramount

Okay, let’s talk about MSNBC. It’s owned by Comcast, and that’s becoming a bit of a problem from a competition standpoint – some are worried it gives them too much power. But beyond that, MSNBC has really rubbed the current administration the wrong way for years, constantly challenging them. Honestly, it feels like regulators are looking for a reason to step in and maybe put some restrictions on what Comcast can do with the network. It’s a messy situation, and I expect we’ll be hearing more about it soon.

I’ve noticed that Netflix’s leaders are big supporters of progressive causes, and honestly, it seems like that’s started to create some political challenges for the company. It’s interesting to see how their values play out in the public sphere, but it’s definitely brought some extra scrutiny their way.

But Paramount owning CNN? That’s a package Trump seems comfortable blessing.

Paramount Could Reshape the Media Landscape With CNN

If Paramount and Skydance successfully merge, it would be one of the biggest changes in the media landscape in years, comparable to Disney’s purchase of Fox. However, this deal seems to be driven just as much by political factors as by financial goals.

CNN has evolved beyond a traditional cable channel; it’s now central to a massive corporate power struggle. Surprisingly, despite its challenges, CNN could be the key advantage for Paramount and Skydance in this competition.

2025-11-24 22:58