Hollywood figures oppose Paramount–Warner Bros. Discovery merger in open letter

Signatories include Emma Thompson, Ben Stiller, Javier Bardem and Rose Byrne.

The letter, published by the New York Times on Monday and also available on the website "blockthemerger.com/openletter" warns that the deal would deepen consolidation in an already highly concentrated media industry and would further damage the US entertainment sector, which it describes as already under pressure.

"This transaction would further consolidate an already concentrated media landscape, reducing competition at a moment when our industries—and the audiences we serve—can least afford it," the signatories said.

Paramount said in response that it remains committed to supporting talent and to “ensuring creators have more avenues for their work, not fewer.”

The proposed deal comes as the entertainment industry continues to recover from the impact of the Covid-19 pandemic, the 2023 labor union strikes, and ongoing disruptions from big tech and shifting audience habits.

Valued at approximately $111 billion, the merger would reduce the number of major US film studios to four. The letter argues this would not only reduce employment opportunities within studios but also limit the pool of buyers and producers in the film and television industry.

The letter comes months after Paramount and its chief executive David Ellison outbid Netflix to acquire Warner Bros. Discovery in a $111 billion deal. Ellison has argued that the acquisition would benefit the creative community, pledging to release at least 30 theatrical films a year and invest in both studios. He also said a deal with Netflix would have created a dominant streaming giant roughly twice the size of its closest competitor.

Paramount’s acquisition of Warner Bros. Discovery is expected to close later this year, subject to shareholder and regulatory approvals. The company says it does not anticipate major obstacles in the US and notes that countries including Germany and Slovenia have already approved the deal.

California Attorney General Rob Bonta said the acquisition is “not a done deal,” while voicing doubt that federal authorities will carry out a thorough review.