Paramount Skydance and Warner Bros. Discovery are once again at the center of escalating merger talks after Paramount Skydance more than doubled its proposed breakup fee to a staggering $5 billion, signaling mounting confidence in its ability to get a potential merger across the regulatory finish line.
The move, detailed in a new report from Bloomberg News, comes as multiple bidders—most notably Netflix—enter the high-stakes contest for control of Warner Bros. Discovery’s vast media empire.
Paramount Skydance Raises the Stakes
According to Bloomberg News, Paramount Skydance—identified as PSKY—boosted its breakup fee from the previously proposed $2.1 billion to $5 billion. The fee would be paid to Warner Bros. Discovery (WBD) if the companies sign a merger agreement, but the deal fails to close.
Sources cited by Bloomberg say the increase is a show of strength: a signal that “Paramount is confident the transaction can clear regulatory hurdles.” Neither Paramount Skydance nor Warner Bros. Discovery chose to publicly comment on the report.
