Paramount Skydance has upped its bid for Warner Bros Discovery, mounting a direct challenge to Netflix’s acquisition deal.
Warner Bros Discovery, up for sale since last year amid streaming struggles, said Paramount raised its offer by $1 per share. The board believes this “could reasonably be expected to lead to a superior proposal.”
More talks are planned before ditching the December Netflix pact, which gives the streamer four days to counter. Netflix has not responded.
This follows a recent BBC interview with Netflix co-chief executive Ted Sarandos, who called bidding tussles “part of the process.”
“I don’t want to do hypotheticals,” he said before the new bid. “We very much like the deal where we’re at right now, we’re very disciplined buyers and we always have been.”
“This is all a process of price-discovery,” he added later.
Ellison-backed Paramount, led by David Ellison, has pushed hard for the deal since 2025 to build a Hollywood giant. Warner Bros Discovery previously rejected offers and agreed to sell its film and streaming arms, including HBO, to Netflix for $82 billion at $27.75 per share, spinning off CNN and TV networks separately.
The upgraded bid now stands at $31 per share in cash, with delay bonuses, a $7 billion breakup fee, and coverage of Warner’s $2.8 billion Netflix penalty.
No final decision yet, as regulators probe monopoly risks and Democrats flag Ellison-Trump links.