David Ellison Leads $108 Billion Hostile Bid for Warner Bros Discovery

David Ellison, the CEO of Paramount Skydance, has launched a bold hostile takeover bid for Warner Bros Discovery, valued at approximately $108.4 billion. This move marks a significant escalation in the competitive landscape of the entertainment industry, positioning Paramount against major player Netflix. The proposed all-cash offer of $30 per share seeks to capture the attention of Warner Bros Discovery shareholders directly, bypassing the company’s leadership.

This proposal, unveiled to shareholders this week, exceeds Netflix’s existing deal by an estimated $18 billion to $18.4 billion in cash value. According to CNN, a hostile takeover occurs when a bidder appeals directly to shareholders, a strategy Paramount is now employing to gain control of Warner Bros Discovery. Paramount argues that its acquisition plan would expedite regulatory approval by encompassing all of Warner Bros Discovery’s assets rather than just select divisions.

Implications of the Proposed Merger

Should the acquisition succeed, it would unite iconic film and television brands under one umbrella, including Warner Bros Pictures, HBO, CNN, DC Studios, and Discovery’s factual networks. Industry analysts suggest that such a merger could represent one of the largest consolidations in entertainment history, raising concerns about market concentration and its potential effects on the future of film, television, and streaming services.

The magnitude of this bid has prompted scrutiny regarding how Ellison has secured the necessary financing. While his personal wealth is bolstered by his leadership roles at Skydance Media and Paramount Skydance, it is also influenced by his family ties to Oracle founder Larry Ellison, a prominent figure in the technology sector. Reports indicate that the takeover bid is not solely reliant on Ellison’s resources; it is backed by a consortium of private equity investors, Middle Eastern sovereign wealth funds, and financing linked to Jared Kushner’s investment firm. The involvement of foreign investors has raised alarms among regulators, who are concerned about the national security implications of overseas funding in a major U.S. media company.

Experts in the industry believe that Ellison’s financial network provides Paramount with a competitive edge in this extensive takeover. By combining his personal assets with the financial strength of Paramount Skydance, the company is positioned to pursue large-scale, high-risk acquisitions that traditional studios might find daunting. This approach has raised alarms among media watchdogs regarding the potential concentration of creative and journalistic power, especially if Paramount secures control over influential platforms like CNN and HBO.

Regulators are likely to evaluate how a merged Paramount and Warner Bros Discovery would impact competition across film production, television distribution, and the streaming market. Such a merger would create a vast library of intellectual property alongside a significant global distribution reach.

David Ellison’s Rise in Hollywood

David Ellison founded Skydance Media in 2006, shortly after leaving film school at the University of Southern California. Over nearly two decades, he has transformed the studio into a notable force in Hollywood, producing blockbuster hits such as Top Gun: Maverick, multiple Mission: Impossible titles, and World War Z. His influence expanded further when Skydance finalized its merger with Paramount Global in August 2025, appointing him as chairman and CEO of the newly formed entity.

The proposed takeover has elicited mixed reactions within Hollywood. While some analysts regard it as a daring effort to stabilize legacy media, others express concerns about the implications of merging such powerful entities. Politicians and regulators are beginning to assess the ramifications of foreign funding and potential political affiliations, as shareholders from both companies weigh the long-term effects of the acquisition.

The board of Warner Bros Discovery is expected to scrutinize the details of the Paramount offer, facilitating shareholder negotiations and navigating regulatory challenges. The outcome of this bid could significantly alter the balance of power in the entertainment industry for years to come.