Netflix and Paramount deals raise concerns for Warner Bros Discovery and democracy

A House judiciary hearing this week flagged potential risks to newsrooms and public speech from competing takeover bids for Warner Bros Discovery; regulators including the FCC and DOJ are cited as having authority to review the transactions.

Two competing takeover bids for Warner Bros Discovery drew scrutiny at a House judiciary hearing this week. Lawmakers raised concerns about how either transaction could affect newsrooms, audiences and public discourse. Netflix has submitted an $82.7bn offer while Paramount Skydance has presented a $108bn hostile bid led by David Ellison. The hearing also discussed reports of political influence around merger reviews and prior editorial interventions. Key points: - A House judiciary hearing raised concerns about the effects of streaming consolidation on newsrooms and consumers. - Netflix has proposed an $82.7bn acquisition of Warner Bros Discovery; Paramount Skydance has offered $108bn. - The article reports that Paramount paid $16m to settle a lawsuit related to CBS and later installed a reported editorial "bias" monitor during merger discussions. - The article reports Netflix's proposal would spin off CNN and some legacy cable networks into a separate entity. - The Federal Communications Commission and the Department of Justice are cited as having authority to review and potentially block deals they find contrary to the public interest. Summary: The hearing highlighted potential impacts on journalistic independence and cultural competition if either bid proceeded. Regulators including the FCC and the Department of Justice are cited as having the authority to review the proposed transactions. Undetermined at this time.