Federal Communications Commission gives green light to $8 billion collaboration between Skydance and Paramount
FCC Approves Skydance-Paramount Merger with Conditions
The Federal Communications Commission (FCC) has given the green light to the $8 billion merger between Skydance Media and Paramount Global, marking the final regulatory hurdle for the companies to complete the deal. The approval, which came on July 25-26, 2025, follows a prolonged review process and negotiations over conditions tied to the deal [1][3].
The Approval and Conditions
The merger transfers FCC licenses from Paramount to Skydance, consolidating a significant media portfolio that includes Paramount+, Paramount Pictures, CBS television network, CBS News and Stations, Nickelodeon, BET, MTV, and Comedy Central under Skydance’s umbrella [1][3]. Originally announced in July 2024, the deal faced delays due to the FCC review, notably under FCC Chairman Brendan Carr, who was appointed by former President Trump [1].
To secure the FCC’s approval, the companies made specific concessions, reportedly aligning with the Trump administration’s regulatory stance [2]. For instance, Paramount agreed to scale back diversity, equity, and inclusion (DEI) programs as a condition for approval [4].
Controversies Surrounding the Deal
The drawn-out review process itself was a point of contention, reflecting broader political and regulatory skepticism over large media consolidations. Paramount’s commitment to scale back DEI programs as part of the deal raised concerns and sparked criticism from some industry and advocacy groups, highlighting tensions about corporate social responsibility concessions in regulatory approvals [4].
Key Commitments Made by Skydance
Amid the controversy, Skydance has reiterated its commitment to fair, unbiased, and fact-based reporting. The company also reaffirmed its commitment to localism as a core component of the public interest standard. Skydance will work closely with its affiliated broadcast stations to ensure a productive partnership that will strengthen their ability to serve local communities [5].
The FCC's approval does not impose conditions on the merged company to prevent it from abusing power over stations in terms of fees and retransmission consent negotiations [6]. It's worth noting that Republican FCC Chair Brendan Carr applauded Skydance's commitments to end DEI initiatives, invest in localism, and ensure unbiased news [7].
However, Commissioner Anna Gomez dissented from the decision, expressing concern that the American public will ultimately pay the price for Paramount's actions. Gomez accused the FCC of using its power to pressure Paramount to settle a lawsuit brought by President Donald Trump and erode press freedom [8].
For more details, the full order can be found online.
[1] - FCC Press Release [2] - The Wall Street Journal [3] - Variety [4] - The Hollywood Reporter [5] - Skydance Press Release [6] - The New York Times [7] - Politico [8] - CNN
- The broadcasting landscape will drastically change as the merger between Skydance Media and Paramount Global, worth $8 billion, has received FCC approval with conditions.
- The consolidated media portfolio will include Paramount+, Paramount Pictures, CBS television network, and various channels such as Nickelodeon, BET, MTV, and Comedy Central, under Skydance's umbrella.
- To secure the approval, Skydance and Paramount made concessions, including scaling back diversity, equity, and inclusion (DEI) programs, aligning with the regulatory stance of the Trump administration.
- The decision has sparked controversy and criticism, with concerns about corporate social responsibility concessions in regulatory approvals and the potential impact on press freedom.
- Amid the controversy, Skydance has reiterated its commitment to fair, unbiased, and fact-based reporting, as well as localism as a core component of the public interest standard.
- The FCC's approval does not impose conditions on the merged company to prevent abuses of power over stations in terms of fees and retransmission consent negotiations, and some commissioners have questioned the decision's long-term consequences for the American public.
