Paramount Guarantees 30 Films
12 state attorneys general fight $111 billion Warner Bros. merger in court despite CEO's 3-year theater deal pledge.
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Paramount and California state officials are set to meet to discuss potential settlement of the antitrust lawsuit.
Paramount CEO David Ellison threatens to exit California by Oct 1 if settlement isn't reached.
Paramount CEO David Ellison threatens to relocate the company out of California if a settlement is not reached with State Attorney General Rob Bonta by October 1.
Paramount CEO David Ellison will start exiting California on Oct. 1 if a settlement is not reached.
Paramount CEO David Ellison will start exiting California on Oct. 1 if a settlement is not reached.
Paramount CEO David Ellison will start exiting California on Oct. 1 if a settlement is not reached.
Ellison told senior executives he will begin relocating Paramount out of California on October 1 if AG Bonta refuses to negotiate, with a $7 million daily ticking fee penalty beginning that date.
Ellison told senior executives he will begin relocating Paramount out of California on October 1 if AG Bonta refuses to negotiate, with a $7 million daily ticking fee penalty beginning that date.
Story published. 12 state attorneys general fight $111 billion Warner Bros. merger in court despite CEO's 3-year theater deal pledge.
Paramount CEO David Ellison is offering legally binding three-year contracts to the U.S.'s two largest theater chains, AMC Entertainment and Regal Cinemas, guaranteeing at least 30 theatrical releases per year if the company's merger with Warner Bros. Discovery wins approval.
The contracts would lock in exclusive 45-day theatrical windows for each film and impose a 90-day moratorium on streaming distribution, with financial penalties if Paramount fails to meet its obligations. Paramount has publicly committed to putting the 30-film pledge in writing, a move designed to address antitrust concerns about the combined company hoarding content for its own streaming services.
The merger, valued at $111 billion, faces significant legal headwinds. Twelve state attorneys general, led by California Attorney General Rob Bonta, have filed an antitrust lawsuit claiming the deal would give Paramount-Warner Bros. excessive control over theatrical releases and basic cable television markets. A trial is scheduled to begin in March 2027.
Ellison has taken an aggressive stance in response to the legal challenge. He has threatened to relocate Paramount out of California if Bonta does not negotiate a settlement, escalating tensions between the company and the state's top law enforcement official.
The theater chains have emerged as unlikely allies in the fight. Both AMC and Regal have publicly backed the merger, with their CEOs endorsing Ellison's vision for increased theatrical output.
Meanwhile, California's government has sent mixed signals. While Bonta leads the antitrust charge, the state's Film Commission awarded Paramount $37.3 million in tax credits for two new series—a Clueless sequel and a Viola Davis thriller—expected to begin production in 2027. The credits are part of California's $750 million annual incentive program designed to attract production spending to the state.
