David Ellison, CEO of the newly formed Paramount Skydance, and his billionaire father Larry are pushing aggressively to expand their media holdings with a $108.4 billion hostile takeover of Warner Bros. Discovery. The all-cash offer of $30 per share, extended to February 20, 2026, challenges Warner’s agreement with Netflix and highlights the duo’s ambitions in a consolidating industry. Larry Ellison, Oracle co-founder with a net worth nearing $243 billion, provided an “irrevocable personal guarantee” of $40.4 billion in equity financing to bolster the bid, as reported by Variety .
Warner Bros. Discovery’s board has repeatedly rejected the offer, calling it inadequate and risky due to its leveraged buyout structure with $87 billion in debt and 7x leverage on 2026 EBITDA. The board favors Netflix’s deal for Warner’s studios and streaming assets, valued at $27.75 per share after spinning off linear networks into Discovery Global. Paramount responded with a Delaware Chancery Court lawsuit seeking more financial disclosures and plans a proxy fight to nominate friendly directors, according to CNBC .
Netflix Co-CEO Greg Peters dismissed the bid as not passing the “sniff test,” reliant on Larry Ellison and massive debt. Paramount argues its offer preserves Warner intact, including CNN and HBO, unlike Netflix’s carve-out, and leverages synergies in sports rights. David Ellison told CNBC, “We’re really here to finish what we started,” emphasizing $17.6 billion more cash for shareholders.
Political Ties Fuel Regulatory Speculation
The Ellisons’ close alliance with President Trump looms large. Larry Ellison’s relationship smoothed Paramount Skydance’s $8 billion merger with Paramount Global, approved by the FCC on July 24, 2025, shortly after a $16 million settlement of Trump’s lawsuit against CBS over a “60 Minutes” Kamala Harris interview edit. Trump claimed an additional $20 million in PSAs from Skydance, denied by Paramount, sparking bribery probes from Democrats like Reps. Jamie Raskin and Frank Pallone, as detailed by House Judiciary Democrats .
FCC conditions included CBS hiring an ombudsman for bias monitoring and dropping DEI programs. Trump praised the hiring of Bari Weiss as CBS News editor-in-chief, reporting to David Ellison. The Ellisons tout easier regulatory clearance versus Netflix, amid White House discussions on CNN changes, per The Guardian .
Funding draws scrutiny: backers include Jared Kushner’s Affinity Partners (later withdrawn), Saudi PIF, Qatar Investment Authority, and Abu Dhabi funds. Warner called prior claims of full Ellison backing misleading. LightShed’s Rich Greenfield warned on TBPN against over-levering for Warner amid AI debt concerns at Oracle, whose stock halved recently.
Editorial Firestorm at CBS News
Bari Weiss sparked outrage by pulling a “60 Minutes” segment on Trump deportations to El Salvador’s CECOT prison hours before air on December 22, 2025. Correspondent Sharyn Alfonsi emailed colleagues it was spiked for political reasons after Trump officials declined interviews; Weiss said it didn’t “advance the ball.” The piece aired January 19, 2026, with minor changes, as covered by PBS News .
Critics link the hold to Paramount’s Warner bid needing Trump approval. Weiss demanded Trump official interviews like Stephen Miller. Trump attacked “60 Minutes” post-merger. Alfonsi stood by the reporting, cleared by lawyers. The incident fueled claims of a rightward shift, including canceling “The Late Show with Stephen Colbert.”
Paramount Skydance did not comment on Axios inquiries about these issues. David Ellison’s film credits include “Top Gun: Maverick” and “Mission: Impossible,” and post-merger UFC rights signal content aggression despite linear TV declines, streaming maturation, and box office lags.
Macro Pressures Test Empire Vision
Linear ad revenue erodes as viewing fragments; streaming wars escalate with live sports bids. Paramount+ eyes HBO Max merger if Warner falls, per David Ellison’s October 2025 statement, mirroring Disney’s Hulu-Disney+ play, noted in Wikipedia . Domestic box office trails pre-pandemic peaks.
Oracle’s value drop raises funding questions. Greenfield advised cheaper growth via licenses over Warner debt. Paramount secured UFC rights post-merger, but Warner adds CNN regulatory headaches, as Axios’ Sara Fischer observed. Oracle’s 15% TikTok U.S. stake involves exec Kenneth Glueck, not Larry directly.
Buying scale succeeds; operating amid debt, politics, and audience shifts tests mettle. As bids drag into 2026, Ellison’s quest reshapes Hollywood power dynamics.
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