Skydance Will End DEI Initiatives at Paramount and Bolster News Integrity at CBS

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Skydance Media has proposed significant adjustments to Paramount Global’s operations following their $8 billion merger. These modifications, outlined in letters to the Federal Communications Commission (FCC), involve the phasing out of diversity, equity, and inclusion (DEI) initiatives across Paramount and its subsidiaries like CBS. Additionally, an independent ombudsman will be appointed to monitor potential biases in CBS News broadcasts.

This process is designed to ensure fair, skill-focused recruitment, promote non-biased policies, and encourage diversity in content production, aligning with the objectives of enhancing efficiency and upholding the principles of the general public’s interests.

Merger Background and Regulatory Hurdles

As a film enthusiast penning my thoughts on the latest industry news, I find myself delving into the drawn-out saga surrounding the potential union between Skydance, under the helm of CEO David Ellison, and Paramount Pictures. This proposed marriage has been under the microscope of the Federal Communications Commission (FCC) since early 2025, primarily due to the contentious transfer of broadcast licenses for CBS stations.

The review process, which typically wraps up within a 180-day informal timeline, has stretched far beyond that, reaching an unprecedented 250 days and counting. As Skydance navigates the complexities of securing approval from the Trump administration’s FCC, chaired by Brendan Carr, their latest promises to appease regulatory concerns are a testament to their determination to see this union through.

In essence, the dance between Skydance and Paramount remains in limbo, with every day bringing new developments in this intriguing tale of corporate mergers and regulatory scrutiny.

The agreement sets Skydance up to change Paramount into a mix of technology and entertainment, using artificial intelligence technologies for content creation and dissemination.

Ellison’s perspective focuses on fostering innovation and reducing expenses, with Skydance anticipating substantial improvements that might secure broadcasting’s future. The merger is a result of a challenging negotiation period marked by previous breakdowns in June 2024 and a later resolution in July 2024. This situation has now progressed to the regulatory stage.

Key Commitments: Phasing Out DEI and Enhancing Accountability

In simpler terms, Stephanie Kyoko McKinnon, Skydance’s general counsel, clearly wrote in their letter to the FCC that after the merger, “New Paramount” intends to break down all current diversity, equity, and inclusion structures they have in place.

This includes:

  • Ceasing numerical goals tied to race, ethnicity, sex, or gender for job applicants and employees.
  • Excluding these characteristics from promotion criteria and compensation plans.
  • Eliminating minimum spending requirements for diverse suppliers.
  • Removing DEI references from internal training, social media, websites, and business conduct statements.
  • Closing the Office of Global Inclusion and reallocating employee resource groups under human resources, with a new focus on “employee culture and engagement.”

Skydance underlines the fact that they do not currently have Diversity, Equality, and Inclusion (DEI) initiatives in place and have no immediate intentions of implementing them. Instead, they are dedicated to adhering strictly to the rules set by the Equal Employment Opportunity Commission (EEOC) regarding non-discrimination.

The company maintains that this transition aims to provide equal chances for everyone based on their skills, thus enabling Paramount to mirror the diverse groups they cater to in their storytelling, while remaining compliant with the law.

Simultaneously, Skydance announced their intention to establish an ombudsman for CBS News, who will report directly to the incoming President Jeff Shell. This position, to last a minimum of two years, will address any issues related to perceived bias or other concerns, aiming to enhance “transparency and accountability.” The objective behind this decision is to ensure that CBS’s programming reflects a wide range of viewpoints from various political and ideological backgrounds and maintains its reputation for being “fair, accurate, and factual.

These guarantees take into account the views expressed by petitioners, such as the conservative Center for American Rights, who have urged broadcasters to fulfill their duty as stewards of the public’s airwaves by upholding their commitment to the public interest.

Broader Context: Trump’s Influence and Related Settlements

The obligations are played out under the influence of both political and legal strains. Notably, President Donald Trump recently mentioned a 16 million dollar settlement from Paramount due to a contested CBS 60 Minutes interview, along with an expected 20 million dollars from Skydance. However, Paramount disputes that public service announcements were part of the agreement.

Trump praised FCC Chairman Carr for achieving these results, characterizing them as triumphs for a fair and balanced media landscape.

Conservative voices have lauded the changes.

It appears that the Left could be relinquishing their influence over one major network as Skydance Media moves towards dismantling its Diversity, Equity, and Inclusion (DEI) initiatives at Paramount, while simultaneously appointing a CBS News Ombudsman to investigate allegations of bias.

— Tom Fitton (@TomFitton) July 23, 2025

Daniel Suhr, head of the Center for American Rights, called these actions “significant moves toward improved broadcasting that benefits all viewers.” He encouraged networks such as ABC, NBC, and PBS to adopt similar practices. On platform X, people like Tom Fitton from Judicial Watch cheered at the prospect of losing “influential control” over a significant network, seeing it as a victory for fairness in selection.

Public and Industry Reactions

The responses regarding X and within the media sphere indicate a deeply divided terrain. Traditional pundits lauded the abolition of DEI as a step back towards meritocracy, emphasizing flaws in quotas-based recruitment and suggesting possible improvements in artistic output.

Exactly as we mentioned, President Donald Trump is revitalizing the Star Trek franchise! And it’s not just him; CBS and Paramount are also involved in this endeavor!

According to a letter sent to the Federal Communications Commission, Skydance Media under the leadership of David Ellison has announced its intention to discontinue all programs focused on diversity, equality, and inclusion (DEI) within Paramount.

— Cosmic Book News (@cosmicbooknews) July 23, 2025

I firmly believe that the strategic decision made by Cosmic Book News to rejuvenate iconic franchises, such as Star Trek, was a brilliant move. It seems they aim to position Paramount away from controversial or divisive discourse in this way.

More extortion as Trump forces Skydance to eliminate DEI in order for the FCC to approve the deal.

Skydance vows to eliminate DEI, ensure “diversity of viewpoints” at Paramount

— Morgan J. Freeman (@mjfree) July 23, 2025

Despite this, critics voiced apprehensions. Certain users of X predicted potential viewer decline for CBS and claimed that the alterations were damaging inclusivity, with one referring to it as “extortion” on the part of Trump aimed at influencing the merger.

Media outlets such as CNN and The Independent portrayed these promises as accommodations towards “Trump’s FCC,” possibly indicating a change in how they scrutinize communications regulation.

The recent termination of “The Late Show with Stephen Colbert” has significantly heightened the ongoing discussion, causing a ripple effect among progressive communities in the entertainment industry.

On July 17, 2025, following the resolution of Paramount’s legal dispute with President Trump and in anticipation of the Federal Communications Commission’s (FCC) approval of a merger, some view this action as a tactical surrender aimed at gaining regulatory approvals.

Colbert, famous for criticizing Trump, spoke out about the termination during his broadcast, saying the situation had prompted him to remove any restraint, using the phrase “the gloves are off,” following his accusation that certain parts of the merger were a blatant bribe.

Corporate experts observe that Diversity, Equity, and Inclusion (DEI) initiatives, intended to promote representation, have received criticism for allegedly causing perceived inefficiencies and potential legal issues, particularly following the Supreme Court’s decisions on affirmative action post-2023. However, Skydance’s approach mirrors a rising trend in corporate America towards streamlined policies that emphasize merit and innovation, prioritizing talent over mandated diversity requirements.

Implications for Hollywood and Broadcasting

This merger could signify a significant transformation in Hollywood, as diversity, equity, and inclusion (DEI) efforts have been prominent since the mid-2010s, due to demands for increased representation. By breaking down these structures, Skydance appears to be placing their faith in meritocracy as the key to boosting productivity and broadening appeal, which could lead to cost savings by minimizing expenditures related to supplier quotas and dedicated offices.

For CBS News, the ombudsman position serves as a check-and-balance mechanism that may help alleviate historical concerns about bias and promote credibility amidst today’s divided media landscape.

Opponents claim it could potentially reduce varied narratives, while supporters counter that nondiscrimination rules already uphold fairness, enabling content to thrive based on its merit instead of set percentages or quotas.

This potential shift might pave the way for other broadcasting companies, prioritizing the public’s interests over personal agendas. Pending FCC approval, the completion of this deal could mark a new era for Paramount, emphasizing cutting-edge technology and maintaining a balanced viewpoint in a progressively competitive industry.

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2025-07-24 15:59