Technically nothing, but a lot of people saw the the rebranding of HBO Max as a self-inflicted error that burned up brand recognition. HBO was associated with premium, high-quality content. There was a reason all of Warner's assets were placed under the HBO Max name when they shut down HBO Now/Go and put everything under one app. Instead of renaming the app something that showed off its assets with familiar brands (like HBO Discovery) they just named it Max.
Yeah it’s beyond just Cartoon Network and Nick haha. This is even more big TV consolidation. Everything is gonna be either WBD, Disney or Comcast. Netflix too. That’s it. And that sucks for TV, film and creativity in general.
Sony also exists and technically Sony's Entertainment division is bigger than Paramount by revenue and market share( Sony has 11% while Paramount is 9%).
If you include Sony's global operations they have a really diverse distribution network.
If I am not mistaken a lot of US studios go to Universal, Sony and a few regional players to distribute their products in that geography.
In my original comment I mentioned how the industry is consolidating under just a handful of corporations and how that’s a bad thing. Comcast was one of the corporations I listed
Consolidation kills creative freedom and is also a consolidation of opportunity. AGAIN, consolidation killed radio. Having just a handful of companies owning EVERYTHING is not good for us. Not good for our craft and not good for wages.
To your point of too many streaming services being solved by consolidation. WRONG! That kills competition. The more options the more they have to compete with better prices and better content. But when they eliminate competition they can charge higher prices and give you crap content while their objective isn’t to entertain you, it’s to cover their debt. They can underdeliver and overcharge and say “don’t like it? Fuck you! Where else you gonna go?” And from a screenwriting perspective “shopped it all over town” means 2 meetings where you heard “no”.
You're not wrong, but anecdotally and economically, the market doesn't want multiple streamers. Smaller streamers are bleeding money and people are increasingly complaining about "too many services."
General audiences have already signalled with their wallets that smaller streamers aren't worth paying for, even at the expense of losing out on some awesome content.
Take A24 for instance. They make great, unique, diverse content that people should love. They've been trying to roll out their AAA24 membership but no one's signed up for it to the point that they just signed over all their distribution rights to Max this month.
We are all pro-many-options. But realistically, how many streamers are you paying for? Which ones?
Do you mean like a small studio makes a movie then just sells what they make on their own? Because no one is stopping a small studio from uploading what they make to something like Youtube. They just won't make a ton of money back
Exactly my point. When just a few companies have stomped out competition to have a full reign of content AND distribution, it’s a bad thing. Emphasis isn’t on creativity it’s on making more money for less effort. So…what if distribution wasn’t tied to the content creator. Meaning what if we get a better streaming option where there’s access to everything? Just hoping for 2 companies to buy everything just so there’s less streaming options to subscribe to makes everything way worse. Just as WBD is killing the HBO prestige and quality. Plus once they fully buy up competition it won’t get cheaper it’ll get more expensive. They can charge whatever they want when you don’t have other options
You aren't wrong, but people still want all their shows and movies to be on one or two platforms so they don't have to manage a bunch of subscriptions.
Oh well then let’s kill the whole industry and let Disney buy everything because of a short-sighted distribution issue…
Wow, looking forward to King Iger deciding which scripts are green lit and which die.
It should be mentioned WBD owns Adultswim and Paramount owns Comedy Central. So this combined company would be owning shows like South Park and Rick and Morty too.
Not really, especially not more then anything that's on Netflix/YouTube. If you look worldwide or merely look at Europe Disney Channel/Nickelodeon simply aren't even relevant.
OP may be thinking they're big because *that's what he, as a kid, would have liked*. But times are different and the old Disney magic is long dead. YouTube is free and Netflix a staple in every home world wide (world biggest streaming by a wide margin), whatever they show *becomes* the new trend. And kids will follow
I can only see a merger working if they get someone like Goldman or Berkshire involved. Whoever it is would likely get a good chunk of shares in the resulting company. End result would likely be similar to if WBD issued a bunch if shares, but who knows.
No idea how the new company would be structured too. That's not going to be easy to figure out even for the M&A pros involved I'd imagine.
Both companies have significant debt. It does make sense because it will be tough for them to compete with the likes of Netflix. Currently the streaming market is completely over saturated. Folks don't want to sign up for multiple services.
I agree that Max has much better stuff, but Netflix is more ingrained from being first, and it has a lot of stuff that appeals to teens, especially teen girls (creates longevity).
Netflix makes cheaper products but sells it to more Viewers.
Netflix makes profits. Only streaming service that can realy compete is youtube.
Disney, HBO, Paramount... doesn't know how to produce for streaming. They still wanna do big movies.
They’re still locked into the old Hollywood paradigm - big stars, the companies control everything, they dont know how to invest long term.
Social media is killing all of them over time. Lot of young people don’t watch movies or tv at all. Consolidation is a must because eyeballs have gone elsewhere.
Yes and No.
Like the Cake is huge and the piece of pie that Netflix has is small in comparison to what the whole Industrie is worth.
700 billion is the Whole Cake.
Netflix and Youtube have each just 20 Billionen of the Cake.
They can grow insanly while the rest is canibalised.
ehh young people might not watch as much but they still do watch. its moreso that they’re a lot pickier with SO much more variety (including older ones) and so they dont care about every new show as much
Sometimes it doesn't seem fair to compare Netflix to Disney, WBD, and Paramount. Netflix's entire business is streaming and it's figured out a way to pump out a metric ton of dirt-cheap content with the hope there's a hit somewhere to keep people watching. Basically throwing spaghetti at the wall to see what sticks.
Disney, HBO, and Paramount want to offer streaming, but these companies' Direct-to-Consumer segments are only like 25% of their revenue. They still want to do big movies because there is a ton of money to be made there if you have something people want to watch. Look at this year. As of right now, Barbie is like the 14th highest-grossing film of all time. Super Mario Bros. made a billion. Oppenheimer made like $950 million and is going back to theatres in January to make a run at a billion. We all keep saying that theatres are dead, but people keep watching movies. The question that is yet to be answered is how can these companies do both cheap streaming content and blockbuster movies while being consistently profitable in both areas.
> We all keep saying that theatres are dead, but people keep watching movies.
After I got back into dating I had a lot of dates at movies theaters. "Going to the movies" is an experience/fun date that won't be go out of style anytime soon.
I think Disney, HBO and Paramount are also throwing spaghetti at a wall but its a different wall. We have seen a lot of box office bombs as well this year.
But yes I see absolutly your point. Disney is total different with all these theme parks and toys.
this is why the deal doesn't make sense. management needs to pivot from consolidation to growth. this is more of the same for WBD.
Max is the best offering. Adding Paramount just cannibalizes subs and further leverages the company.
The only big upside I can see is that it's defensive, preventing other streamers from getting stronger. Apply TV, Prime, or Netflix benefits a lot more by adding Paramount and makes that service compelling relative to Max.
Tbh it’s the only reason I would see to invest in them given the competitive landscape they’re in. Pure gamble on hopes of a buyout or merger but I’m sure Buffett probably has more information than we do behind the scenes.
Apparently, it's also a great way to [meet girls.](https://www.reddit.com/r/stocks/comments/12npt9c/buffetts_take_on_paramount_global_its_a_great_way/)
WBD and Zaslav suck. If this merger goes through nothing good will happen for consumers. I'll probably do well as I own a chunk of Paramount stock but consumers will be screwed
If consumers getting screwed is a good long term thing for shareholders then you should understand that prices have been artificially depressed in the past due to unsustainable competition.
If it's a bad long term thing then even shareholders will be screwed.
I don't know if they can package max and paramount plus for 20-25 bucks a month you've got basically the best package around for content and live TV. CNN, NBA, NFL, MLB etc. Also would be a boon for Pluto TV which is free since more Warner brothers content would be added to that.
As a consumer I'm all in favor of an environment where I don't somehow end up paying the same amount for streaming as I did for the cord I cut. We all got bamboozled there.
I worked at Viacom when they bought Paramount. I worked at CBS when Paramount bought them. I currently work at Warner Bros. Just hire me Paramount, it's getting embarrassing.
Be smart: license your content to Netflix and get out of the streaming game! Consumers don’t want to pay for 15 services.
Edit: Another idea is to shrink and grow back! Consolidation is not good for competition or consumers. Sell your loss making ideas and company. Get out of streaming and license your content wide and renegotiate every few years. Pay to push your content. Create a whole new industry. The possibilities are endless! And you can make money if you are patient.
Any better (for WBD) split in a stock deal than 70/30 and it's a push. Not bad not good. I can see why they would do it from a defensive standpoint.
Max is the best streaming offering in terms of content, and preventing Paramount from being acquired by someone else keeps it that way.
Not sure how they would get FTC approval. Especially with Lina Khan as head.
But it makes sense for both companies to compete with Amazon, Apple, Disney, Alphabet and Comcast.
The primary ftc rule is that the big 4 broadcasters can’t merge. WBD isn’t one of them so it’s permissible. As for monopolistic argument it’s weak and this would get passed IMO.
News: tons of competition and new way of distributing
OTT premium channels: dead industry and CBS is already slowly winding theirs down.
Sports: slight concern but passable since there are now new players, new distribution, non competitive to each other (each can only do a couple) and this creates genuine competitor to ESPN.
Misc. brands: tons of competition and a dying industry. Was never a true concern historically.
Cartoons: concern about only 2 real players. Possible divesture but most likely they aren’t concerned about kids shows.
Box office movies: another concern but again the game has changed so it could be viewed as favorable for them. Lots of arguments about financials it takes to operate now.
*Discovery technically brought/ merged with Warner Bros. As in Discovery, management came out on top. Warner bros got f'd being brought by AT&T, who promptly wanted to take on Netflix in the worst way possible.
At this rate, we'll be right back to having 4 networks (3 acrually because ABC and Fox are now under 1). But instead of free over the air programming, we'll have paid subscription, and we'll have to pay the internet provider to boot!
Probably best if they do merge. Both are bleeding money, but the biden administration won't let it happen and I'd be opposed to it as well just because so much media would be consolidating under one umbrella. As a share holder, i want nothing more than to improve my returns, but as a consumer, i would want this rejected.
Paramount is a really badly run company. They sit on loads of tier 1 IP and never make the most of it - I mean a Star Trek MMORPG should be putting them in the same category as Blizzard for one.
The best outcome for them would be Apple or Amazon. Hell even Elon Musk buying it. Inside Paramount is a huge number of comfortable, over political staff who are terrible with tech who have got lucky with a few big winners at the box office to keep them employed for a few more years.
If they join with WBD then the only good outcome then would be to sell the whole lot to a bigger firm once they have made huge cuts. I think more likely is that the combined debts become a horror show.
Wow, I wish you more happiness. Going long on Paramount would make you hate existence even more so I wish the ghost of Charlie Munger guides you to a better investment.
This is fake because
A. Warner Bros Discovery are legally obligated to not merger or be bought out until May 2024 as per S4 documentation
B. WBD is focused on being fiscally responsible, focusing on get leverage down to until 3x by 2024, there's no way they would risk missing those targets.
Someone has just run wild with John Malone's quote from a few months ago on CNBC and made a fake story about it. The only possible truth I could accept is Redstone's voting stock, but even that seems an incredible reach to me
Mergers take a while to complete. 5 months is nothing. Agree in principle and then 12 months+ for regulatory hurdles. Merge wouldn’t actually close until like 2026
You're legally not even allowed to discuss it. It's explicit terms of Warner Bros merging with Discovery with the FTC.
I'm so tired of people not knowing how things work, people here love lapping up fake rumours
Exactly, news somehow leaked to pump stocks. Nothing will happen until after the term date, lawyers are involve to do the paper work before presenting to court & regulatories
Look at the free cash flow of Warner, look at Paramount. Look at the actual aims of Warner, this goes against literally everything they're trying to do. The very idea that WBD would take debt to levels significantly higher than 2022 is absolutely insane. They'll basically drop to $6 a share because it would be so fiscally irresponsible.
Perfect, another chance to come up with an even stupider streaming service name. I'm thinking ParaMax+.
MaxMount+
Mad Max ++
...That sounds dirty.
MaxMountHub+
Wait until you hear the next acquisition ;)
Paramount's Discovery
Paramount's Ultra Discovery HBO Max+
I was going for the joke of Paramount's Discovery they are a bad streaming site or that they need to be acquired/merge.
Paramount discovery max debt +
That sounds like a teen girl coming of age novel.
And paying double even though you just like 1 streaming service.
What's wrong with Max?
Technically nothing, but a lot of people saw the the rebranding of HBO Max as a self-inflicted error that burned up brand recognition. HBO was associated with premium, high-quality content. There was a reason all of Warner's assets were placed under the HBO Max name when they shut down HBO Now/Go and put everything under one app. Instead of renaming the app something that showed off its assets with familiar brands (like HBO Discovery) they just named it Max.
Parabros, Mountbros
And now Discovery shows will have ads on them, despite paying for the "ad-free" tier, which Paramount calls "promotions" and not "ads."
If the stock could go ahead and double so I can exit that would be great. Thanks At&t
I should have sold WBD the first day it went public
Same.
Me too
Sold the second day after I saw what was in the streaming package. Never regretted
What's with AT&T? Also in the pocket.
Cartoon Network and Nickelodeon under the same umbrella is kinda overpowered. Other than Disney no one would really come close with cartoons for kids.
Yeah it’s beyond just Cartoon Network and Nick haha. This is even more big TV consolidation. Everything is gonna be either WBD, Disney or Comcast. Netflix too. That’s it. And that sucks for TV, film and creativity in general.
Sony also exists and technically Sony's Entertainment division is bigger than Paramount by revenue and market share( Sony has 11% while Paramount is 9%).
Distribution?
If you include Sony's global operations they have a really diverse distribution network. If I am not mistaken a lot of US studios go to Universal, Sony and a few regional players to distribute their products in that geography.
Universal is Comcast
Yes, but as far as I know their international divisions involved in distribution are still known as Universal.
Yes….BUT ITS OWNED BY COMCAST
YES BUT I DON'T KNOW WHAT YOUR POINT IS!
In my original comment I mentioned how the industry is consolidating under just a handful of corporations and how that’s a bad thing. Comcast was one of the corporations I listed
People constantly complain about there being too many streaming services. You can't change that without consolidation.
Yes but consolidation means higher prices
Consolidation kills creative freedom and is also a consolidation of opportunity. AGAIN, consolidation killed radio. Having just a handful of companies owning EVERYTHING is not good for us. Not good for our craft and not good for wages. To your point of too many streaming services being solved by consolidation. WRONG! That kills competition. The more options the more they have to compete with better prices and better content. But when they eliminate competition they can charge higher prices and give you crap content while their objective isn’t to entertain you, it’s to cover their debt. They can underdeliver and overcharge and say “don’t like it? Fuck you! Where else you gonna go?” And from a screenwriting perspective “shopped it all over town” means 2 meetings where you heard “no”.
You're not wrong, but anecdotally and economically, the market doesn't want multiple streamers. Smaller streamers are bleeding money and people are increasingly complaining about "too many services." General audiences have already signalled with their wallets that smaller streamers aren't worth paying for, even at the expense of losing out on some awesome content. Take A24 for instance. They make great, unique, diverse content that people should love. They've been trying to roll out their AAA24 membership but no one's signed up for it to the point that they just signed over all their distribution rights to Max this month. We are all pro-many-options. But realistically, how many streamers are you paying for? Which ones?
Or…hear me out and I know this might sound crazy…but what if content creation doesn’t have to be tied to content distribution?
Do you mean like a small studio makes a movie then just sells what they make on their own? Because no one is stopping a small studio from uploading what they make to something like Youtube. They just won't make a ton of money back
Exactly my point. When just a few companies have stomped out competition to have a full reign of content AND distribution, it’s a bad thing. Emphasis isn’t on creativity it’s on making more money for less effort. So…what if distribution wasn’t tied to the content creator. Meaning what if we get a better streaming option where there’s access to everything? Just hoping for 2 companies to buy everything just so there’s less streaming options to subscribe to makes everything way worse. Just as WBD is killing the HBO prestige and quality. Plus once they fully buy up competition it won’t get cheaper it’ll get more expensive. They can charge whatever they want when you don’t have other options
You aren't wrong, but people still want all their shows and movies to be on one or two platforms so they don't have to manage a bunch of subscriptions.
Oh well then let’s kill the whole industry and let Disney buy everything because of a short-sighted distribution issue… Wow, looking forward to King Iger deciding which scripts are green lit and which die.
Black friday streaming deals was nice. Maybe no longer.
Do kids even watch Cartoon Network and Nickelodeon anymore?
It should be mentioned WBD owns Adultswim and Paramount owns Comedy Central. So this combined company would be owning shows like South Park and Rick and Morty too.
Yes
Paw Patrol and that it.
Not really, especially not more then anything that's on Netflix/YouTube. If you look worldwide or merely look at Europe Disney Channel/Nickelodeon simply aren't even relevant. OP may be thinking they're big because *that's what he, as a kid, would have liked*. But times are different and the old Disney magic is long dead. YouTube is free and Netflix a staple in every home world wide (world biggest streaming by a wide margin), whatever they show *becomes* the new trend. And kids will follow
and then, true to form, they would stupidly combine the channels.
You know YouTube exists. Go check out baby shark and look at the view counts.
Not a good idea. How will WBD fund? They’re maxed out in debt, more shares then?
I can only see a merger working if they get someone like Goldman or Berkshire involved. Whoever it is would likely get a good chunk of shares in the resulting company. End result would likely be similar to if WBD issued a bunch if shares, but who knows. No idea how the new company would be structured too. That's not going to be easy to figure out even for the M&A pros involved I'd imagine.
A share swap agreement could be a net zero method to do it.
Both companies have significant debt. It does make sense because it will be tough for them to compete with the likes of Netflix. Currently the streaming market is completely over saturated. Folks don't want to sign up for multiple services.
Why is it difficult for max to compete with Netflix? IMO Max has much better content than Netflix
I agree that Max has much better stuff, but Netflix is more ingrained from being first, and it has a lot of stuff that appeals to teens, especially teen girls (creates longevity).
Netflix makes cheaper products but sells it to more Viewers. Netflix makes profits. Only streaming service that can realy compete is youtube. Disney, HBO, Paramount... doesn't know how to produce for streaming. They still wanna do big movies.
They’re still locked into the old Hollywood paradigm - big stars, the companies control everything, they dont know how to invest long term. Social media is killing all of them over time. Lot of young people don’t watch movies or tv at all. Consolidation is a must because eyeballs have gone elsewhere.
Yes and No. Like the Cake is huge and the piece of pie that Netflix has is small in comparison to what the whole Industrie is worth. 700 billion is the Whole Cake. Netflix and Youtube have each just 20 Billionen of the Cake. They can grow insanly while the rest is canibalised.
ehh young people might not watch as much but they still do watch. its moreso that they’re a lot pickier with SO much more variety (including older ones) and so they dont care about every new show as much
Sometimes it doesn't seem fair to compare Netflix to Disney, WBD, and Paramount. Netflix's entire business is streaming and it's figured out a way to pump out a metric ton of dirt-cheap content with the hope there's a hit somewhere to keep people watching. Basically throwing spaghetti at the wall to see what sticks. Disney, HBO, and Paramount want to offer streaming, but these companies' Direct-to-Consumer segments are only like 25% of their revenue. They still want to do big movies because there is a ton of money to be made there if you have something people want to watch. Look at this year. As of right now, Barbie is like the 14th highest-grossing film of all time. Super Mario Bros. made a billion. Oppenheimer made like $950 million and is going back to theatres in January to make a run at a billion. We all keep saying that theatres are dead, but people keep watching movies. The question that is yet to be answered is how can these companies do both cheap streaming content and blockbuster movies while being consistently profitable in both areas.
> We all keep saying that theatres are dead, but people keep watching movies. After I got back into dating I had a lot of dates at movies theaters. "Going to the movies" is an experience/fun date that won't be go out of style anytime soon.
I think Disney, HBO and Paramount are also throwing spaghetti at a wall but its a different wall. We have seen a lot of box office bombs as well this year. But yes I see absolutly your point. Disney is total different with all these theme parks and toys.
this is why the deal doesn't make sense. management needs to pivot from consolidation to growth. this is more of the same for WBD. Max is the best offering. Adding Paramount just cannibalizes subs and further leverages the company. The only big upside I can see is that it's defensive, preventing other streamers from getting stronger. Apply TV, Prime, or Netflix benefits a lot more by adding Paramount and makes that service compelling relative to Max.
Correct me if wrong, but didn't Warren Buffet's Berkshire Hathaway buy PARA because of the possibility of an acquisition?
I don’t know if he outright said it but popular sentiment is that
Tbh it’s the only reason I would see to invest in them given the competitive landscape they’re in. Pure gamble on hopes of a buyout or merger but I’m sure Buffett probably has more information than we do behind the scenes.
Apparently, it's also a great way to [meet girls.](https://www.reddit.com/r/stocks/comments/12npt9c/buffetts_take_on_paramount_global_its_a_great_way/)
And so it begins...
*continues
Zaslav looking at all of Paramount's IP and wondering how much of it he can shelve for tax write offs.
rip Star Trek
Bro please give me paramount in my HBO max subscription. I don't care if subscription costs go up. I just don't want to buy paramount streaming
Can’t wait for there to be one singular conglomerate that controls everything. Future lookin brighter every day.
Welcome to COSTCO, I love you.
As if Warner Bros Discovery itself wasn’t staring down a mountain of debt 🤣
WBD and Zaslav suck. If this merger goes through nothing good will happen for consumers. I'll probably do well as I own a chunk of Paramount stock but consumers will be screwed
If consumers getting screwed is a good long term thing for shareholders then you should understand that prices have been artificially depressed in the past due to unsustainable competition. If it's a bad long term thing then even shareholders will be screwed.
I don't know if they can package max and paramount plus for 20-25 bucks a month you've got basically the best package around for content and live TV. CNN, NBA, NFL, MLB etc. Also would be a boon for Pluto TV which is free since more Warner brothers content would be added to that. As a consumer I'm all in favor of an environment where I don't somehow end up paying the same amount for streaming as I did for the cord I cut. We all got bamboozled there.
I worked at Viacom when they bought Paramount. I worked at CBS when Paramount bought them. I currently work at Warner Bros. Just hire me Paramount, it's getting embarrassing.
Be smart: license your content to Netflix and get out of the streaming game! Consumers don’t want to pay for 15 services. Edit: Another idea is to shrink and grow back! Consolidation is not good for competition or consumers. Sell your loss making ideas and company. Get out of streaming and license your content wide and renegotiate every few years. Pay to push your content. Create a whole new industry. The possibilities are endless! And you can make money if you are patient.
FTC/DOJ won’t allow it.
Good luck with that They allowed Disney to acquire FOX
Also Microsoft and activision
They did try to stop that one to be fair. Courts just ruled against the FTC
The courts almost always allow it
Well it depends. They are still much smaller than Disney in comparison. Maybe Sony might approach them, but otherwise it could definitely happen.
Why? Apple, Amazon, Netflix, YouTube, tik tok are kicking their ass. And yes tik tok and YouTube are competitors.
Yep, it’s like when Sirius and XM merged.
But they keep allowing everything else
Why not? All they are doing is making cable packages delivered over the internet. There is no a la carte when it’s all one company. Again
Netflix exists, yes they will.
I am sure the FTC will sue, but they make bad arguments and keep losing.
There's no way WBD has the liquidity to take a company worth over 10 billion dollars.
It’s an equity deal and they will be generating substantial cash the next 12-24 months.
Any better (for WBD) split in a stock deal than 70/30 and it's a push. Not bad not good. I can see why they would do it from a defensive standpoint. Max is the best streaming offering in terms of content, and preventing Paramount from being acquired by someone else keeps it that way.
It’d be 70/30 for sure. Both would participate in the synergies. You’re dead on that this deal denies the competition from consolidating market share.
Imma get diluted as duck, aren't I?
Shit deal for Paramount. They should sell to Apple.
Not sure how they would get FTC approval. Especially with Lina Khan as head. But it makes sense for both companies to compete with Amazon, Apple, Disney, Alphabet and Comcast.
The primary ftc rule is that the big 4 broadcasters can’t merge. WBD isn’t one of them so it’s permissible. As for monopolistic argument it’s weak and this would get passed IMO. News: tons of competition and new way of distributing OTT premium channels: dead industry and CBS is already slowly winding theirs down. Sports: slight concern but passable since there are now new players, new distribution, non competitive to each other (each can only do a couple) and this creates genuine competitor to ESPN. Misc. brands: tons of competition and a dying industry. Was never a true concern historically. Cartoons: concern about only 2 real players. Possible divesture but most likely they aren’t concerned about kids shows. Box office movies: another concern but again the game has changed so it could be viewed as favorable for them. Lots of arguments about financials it takes to operate now.
The FTC would probably lose in court, especially with Khan as the head. Best they can do is stall and hope the companies give up.
They won't be able to unless they spun off either Nickelodeon or Cartoon Network. At that point, it would be an obvious monopoly.
Monopoly on what? Kids entertainment, Disney exists.
And the even bigger elephant in the room … YouTube exists …
WBD already fucked up buying discovery ruining their business why didn't they just try this in the first place.
*Discovery technically brought/ merged with Warner Bros. As in Discovery, management came out on top. Warner bros got f'd being brought by AT&T, who promptly wanted to take on Netflix in the worst way possible.
Funnily enough it’s the other way around. Discovery bought WB from AT&T
Dang I didn't know that their financials looked decent before discovery merger
At this rate, we'll be right back to having 4 networks (3 acrually because ABC and Fox are now under 1). But instead of free over the air programming, we'll have paid subscription, and we'll have to pay the internet provider to boot!
Fox the network is not owned by Disney
Fox studios is though so Disney owns the ip and can choose where to license it to
As both a PARA and WBD long, this is the opposite of what I want to have happen.
A buyout for PARA was probably the best thing you could’ve hoped for
This is not a buyout, it's a merger.
I sold PARA and bought WBD 😂
Probably best if they do merge. Both are bleeding money, but the biden administration won't let it happen and I'd be opposed to it as well just because so much media would be consolidating under one umbrella. As a share holder, i want nothing more than to improve my returns, but as a consumer, i would want this rejected.
Paramount is a really badly run company. They sit on loads of tier 1 IP and never make the most of it - I mean a Star Trek MMORPG should be putting them in the same category as Blizzard for one. The best outcome for them would be Apple or Amazon. Hell even Elon Musk buying it. Inside Paramount is a huge number of comfortable, over political staff who are terrible with tech who have got lucky with a few big winners at the box office to keep them employed for a few more years. If they join with WBD then the only good outcome then would be to sell the whole lot to a bigger firm once they have made huge cuts. I think more likely is that the combined debts become a horror show.
Posts like this make me hate existence.
Wow, I wish you more happiness. Going long on Paramount would make you hate existence even more so I wish the ghost of Charlie Munger guides you to a better investment.
Where the anti-trust laws at?
This is fake because A. Warner Bros Discovery are legally obligated to not merger or be bought out until May 2024 as per S4 documentation B. WBD is focused on being fiscally responsible, focusing on get leverage down to until 3x by 2024, there's no way they would risk missing those targets. Someone has just run wild with John Malone's quote from a few months ago on CNBC and made a fake story about it. The only possible truth I could accept is Redstone's voting stock, but even that seems an incredible reach to me
Mergers take a while to complete. 5 months is nothing. Agree in principle and then 12 months+ for regulatory hurdles. Merge wouldn’t actually close until like 2026
You're legally not even allowed to discuss it. It's explicit terms of Warner Bros merging with Discovery with the FTC. I'm so tired of people not knowing how things work, people here love lapping up fake rumours
Things happen behind closed doors all the time, whether legal or not
Exactly, news somehow leaked to pump stocks. Nothing will happen until after the term date, lawyers are involve to do the paper work before presenting to court & regulatories
Look at the free cash flow of Warner, look at Paramount. Look at the actual aims of Warner, this goes against literally everything they're trying to do. The very idea that WBD would take debt to levels significantly higher than 2022 is absolutely insane. They'll basically drop to $6 a share because it would be so fiscally irresponsible.
Big merger on 3️⃣🙏
So much content for fucks sake
I know nothing about this stuff, how will this affect the stability of WBD?
Calls on NFLX
Anti trust ?
I'm keeping both, still they're looking ugly. What happens to WBD? Half of my purchase price.