Under a Paramount-WBD merger, two struggling media giants would unite

Netflix has dropped out of the bidding war for Warner Bros. Discovery (WBD), making Paramount Skydance the expected owner of WBD. A Paramount-WBD merger remains subject to regulatory approval, but it’s likely that we will see a Paramount-Skydance-Warner-Bros.-Discovery media giant.

Such a conglomerate would unite two legacy media companies that have struggled with profitability for years and have strongly invested in streaming and cable.

With Paramount inching closer to WBD ownership...