California leads a multistate lawsuit to block the Paramount–Warner Bros merger
California is leading a group of roughly a dozen states in a lawsuit seeking to block the proposed merger of Paramount and Warner Bros, arguing that combining two of Hollywood’s largest studios would reduce competition across film, television and streaming. California, home to both companies, is the lead plaintiff.
The state action adds a new hurdle to a deal that would reshape the media landscape by consolidating major libraries, studios and streaming platforms under one owner. Antitrust challenges from state attorneys general can proceed independently of federal regulators, and they give states standing to seek to enjoin a transaction before it closes.
The suit signals that opposition to further consolidation in entertainment will be fought at the state level as well as in Washington, and it raises the prospect of a drawn-out court fight before the companies can complete the tie-up.