Topline
Skydance Media has closed their deal to purchase Paramount for $8 billion, CEO David Ellison announced Thursday—capping off a tumultuous bid to win regulatory approval and two weeks after the FCC finally greenlit the deal announced in July 2024.
The media company owned by David Ellison announced the deal over a year ago, but only received FCC approval in July.
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Key Facts
Ellison, the son of billionaire Oracle co-founder Larry Ellison, celebrated Thursday as “Day One of a new Paramount,” praising the company’s legacy while promising to lead it through an “exciting next chapter.”
Ellison promised to turn Paramount into a “tech-forward company that blends the creative heart of Hollywood with the innovative spirit of Silicon Valley.”
How Will This Impact Cbs?
In July, Paramount settled a lawsuit filed by President Donald Trump during the presidential campaign, accusing the network’s storied newsmagazine program “60 Minutes” of deceptively editing an interview with former Vice President Kamala Harris before the presidential election. Paramount agreed to pay Trump $16 million—down from the $20 billion he originally sought—which Trump celebrated as a victory. Days later, CBS announced it would cancel “The Late Show with Stephen Colbert,” the network’s flagship late night variety show. The network said the move was purely financial, but Colbert, a frequent Trump critic, criticized the move and called the “60 Minutes” settlement a “big fat bribe.” On Thursday, Ellison seemingly addressed the network, whose news division he said had “one of the most storied American broadcast journalism legacies in America, including ‘60 Minutes.’” But before receiving FCC approval on July 24, Skydance told regulators they would enact sweeping changes to CBS’s workplace, including ending diversity, equity, and inclusion programs, appoint an ombudsman to handle accusations of bias in news coverage, and promote “a diversity of viewpoints across the political and ideological spectrum, consistent with the varying perspectives of the viewing audience.” Addressing the company’s “news partners” directly on Thursday, Ellison said: “We recognize it’s been a challenging period and we’re deeply grateful for your resilience, professionalism, and unwavering commitment to the news business. We take immense pride in CBS News’ legacy of impactful journalism and look forward to continuing to foster a newsroom culture where journalists are empowered, trusted, and equipped to do their best work.”
How Has The Redstone Family Responded?
“My family and I have always loved this Company,” former owner Shari Redstone said in a memo to Paramount employees the night before the deal was closed. “While it is not easy to step away, I am very proud of the Company that we have created, the culture upon which it is built, and the collaboration that is at the core of who we are and what we do.” Her father, billionaire media mogul Sumner Redstone, purchased Paramount Pictures in 1993, and Redstone. She owned National Amusements, the theater chain founded by her grandfather Michael Redstone that controlled 77% of the voting power in Paramount Global, and was named Paramount’s chair in 2019. National Amusements was purchased as part of the Skydance merger, and is now controlled by David Ellison, his father Larry Ellison, and RedBird Capital, the asset management firm that invested $1.8 billion in the deal. Redstone reportedly received $1.75 billion for her stake in National Amusements.