After almost a year in the trenches pulling together his historic combination of Paramount Skydance and Warner Bros. Discovery, David Ellison has finally emerged victorious. On Monday, the Silicon Valley heir confirmed he’d reached a settlement with a group of state attorneys general, who sued to block the merger over antitrust concerns.
The proposed merger was met with heated opposition by activist groups, top talent like Mark Ruffalo and whispers by Ellison’s legacy media competitors. But groups like the Hollywood labor guilds are celebrating the settlement news, as the staring contest between Ellison and the AGs caused paralysis in development and spending seemingly across the board at both companies. Here are the cheers, jeers and looming fears of the players involved in “ParaBros”: WGAThe outspoken union acknowledged that their own active litigation against the ParaBros. merger could no longer continue once the state AG’s settled, largely over the cost of duking it out in court.
Now that the Attorneys General have settled with Paramount, however, as a nonprofit, the WGA must contend with the reality of forging ahead alone, with no backing from government enforcers, with a complex antitrust lawsuit that would cost millions of dollars to pursue through trial. Consequently, we have also settled our lawsuit with an agreement from Paramount to prohibit writer layoffs at CBS News Broadcast for 5 years, and to pay $17.5 million to our health fund along with our attorneys’ fees in the litigation. Though we were not successful in blocking the merger, our advocacy brought more attention to the harms that this merger—and others like it—will cause.
We will continue to fight the harms of industry consolidation. As the number of outlets to sell our work to and the corresponding diversity of programming shrinks, we need industry-wide structural separation between streamers and studios in order to promote competition in programming, like the Financial Interest and Syndication Rules once required in broadcast television. We will continue to fight for these goals.” DGAThe Directors Guild of America highlighted protections that the AG’s negotiated (read a comprehensive list of those here).
The AG agreement contains important binding and enforceable commitments that protect theatrical film and television markets and domestic film jobs. Equally important, it brings clarity and stability to the industry during a period of decreased production. We especially thank California Attorney General Rob Bonta, and New York Attorney General Letitia James, for their leadership.
We intend to continue our discussions with Paramount regarding domestic television production, with a focus on ensuring a competitive and robust marketplace that protects jobs.” SAG-AFTRAThe actors union underscored the power of collective bargaining. We hope that the process of engaging with the attorneys general has impressed upon them the fact that in addition to collective bargaining, our members rely on the law to help protect our interests. These are the lowest standards that our employers must meet.
Extract — continue reading at the source.
