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With worrying numbers astir imaginable L.A. occupation losses and different economical impacts resulting from a Paramount-Warner Bos Discovery merger, nan Los Angeles County Board of Supervisors has conscionable put its thumb connected nan standard of a imaginable authorities attorneys general’s ineligible action against David Ellison‘s pending $111 cardinal deal.
“The merger places astir 2,495 jobs successful Greater Los Angeles County and astir 6,000 globally astatine imaginable risk, chiefly successful corporate, tech, existent estate, and different shared functions owed to duplicative roles crossed nan 2 companies,” sounds a June 18-filed study by nan L.A. County Department of Economic Opportunity to nan powerful committee of supervisors.
Click to publication nan L.A. County study here.
“This estimate should not beryllium publication arsenic a layoff forecast; it only defines nan standard of imaginable employment impacts that whitethorn beryllium taxable to consolidation. These roles are nan astir instantly exposed to consolidation.”
While nan report, titled Protecting Entertainment Jobs: Evaluating nan Economic Impact of nan Purchase of Warner Bros, offers a bleak fallout from immoderate imaginable ParaBros merger, it besides pivot toward nan realpolitik of nan pending woody amid national and authorities posturing and policy.
Specifically, nan study from DOEO head Kelly LoBianco notes nan anticipated suit from California AG Rob Bonta and astir a twelve different states nationwide that is nan astatine nan very slightest intended to deed nan region fastener connected nan plans by Donald Trump’s “good friends” David and Larry Ellison.
Of course, arsenic Bonta’s agency and others opportunity they are still investigating nan merger, Thursday’s study by nan region presents its perchance astir important directive successful politically bland connection — but publication betwixt nan lines and it’s clear wherever this is going.
The study says: “The United States Department of Justice (DOJ) precocious approved nan Paramount Skydance and Warner Brothers Discovery merger connected June 12, 2026, earlier than nan September 2026 expected deadline. The DOJ concluded that nan merger would thief workers by strengthening title and not reducing occupation opportunities. The determination has prompted continued sermon from stakeholders connected imaginable layoffs, reduced production, and weakened labour standards unless beardown safeguards are put successful place.
“The California Attorney General (AG) Rob Bonta, nether State and Federal antitrust law, has some nan authority and expertise to artifact aliases hold nan merger. The AG’s agency has publically stated that they are actively investigating and coordinating pinch different states and expect to determine imminently whether to record suit. A State-level suit (and preliminary injunction) could importantly hold aliases derail nan deal, contempt DOJ approval.”
Then again, nan region is blunt astir about what it thinks its ain lawyers should do.
“Direct County Counsel to taxable general comments to nan U.S. Department of Justice regarding antitrust concerns, and show immoderate action taken by State Attorneys General, including California Attorney General Rob Bonta, who are investigating this woody and its imaginable anti-competitive impacts,” nan study says, noting “the urgency of nan issues raised.”
“Counsel will taxable general comments to nan U.S. Department of Justice regarding antitrust concerns, show immoderate action taken by State Attorneys General regarding nan projected merger deal, and show nan actions of California Attorney General Rob Bonta successful his investigation of nan projected Paramount-Warner Brothers merger and its imaginable anti-competitive impacts.”
With an estimated $80 cardinal successful indebtedness projected to consequence from a mixed ParaBros, positive continuing concerns astir Middle East financial stakes successful nan caller company, nan jarring region study is graphic, virtually and figuratively, astir imaginable occupation losses to come.
A chart from Thursday’s report:
In consequence to nan county’s captious report, Paramount took purpose astatine nan “the position quo” [that] continues to neglect Los Angeles’ intermezo economy,” calling nan merger a “response to these realities, Paramount said its extremity is to “help guarantee Los Angeles remains nan world superior of intermezo for generations to come.” (Read nan afloat connection below.)
Noticeably, nan Paramount consequence did not reside nan report’s occupation losses successful and astir L.A. County arsenic a consequence of nan deal.
Bonta’s agency did not respond to Deadline’s petition for remark coming connected nan report.
The study news comes arsenic 3 cardinal Democratic senators are calling connected the FCC to barroom the Paramount–Warner Bros. Discovery merger from closing until an agency reappraisal of overseas ownership is pending. Sen. Cory Booker (D-NJ), Sen. Adam Schiff (D-CA) and Sen. Elizabeth Warren (D-MA) wrote successful a letter to FCC president Brendan Carr that nan committee “has an responsibility to honestly reply a basal question: whether placing 49.5 percent of nan equity successful nan genitor institution of CBS, CNN, and 28 broadcast tv stations into nan hands of 3 overseas governments serves nan American public. We are prepared to prosecute each disposable avenue — legislative, oversight, and ineligible — to guarantee that it does.”
Meanwhile, arsenic a multi-phased reappraisal by UK regulators whitethorn person already thrown their ain spanner successful Paramount-WBD useful past week, location is superior money connected nan array for Ellison and his Oracle laminitis begetter if nan merger isn’t locked successful by September 30. At that point, a ticking interest kicks successful and Paramount would beryllium paying hundreds of millions retired to WBD shareholders each consequent month.
Here’s Paramount’s afloat statement:
“The study issued by Los Angeles County Department of Economic Opportunity underscores nan aggregate ways successful which nan position quo continues to neglect Los Angeles’ intermezo economy: reduced output, declining linear tv revenues, and competing incentives from different jurisdictions person near consumers and creatives taxable to nan whims of nan ascendant exertion and streaming platforms that norm Hollywood today.
The projected merger of Paramount and Warner Bros. Discovery is simply a consequence to those realities. A mixed Paramount-WBD will person nan standard and resources needed to compete much efficaciously successful a quickly evolving world media marketplace and put successful content, technology, and jobs.
Paramount is proud to telephone Los Angeles home. For much than a century, our historical Melrose workplace batch has been astatine nan bosom of Hollywood’s imaginative economy, and California, which is wherever our office is based, remains cardinal to our future. This transaction is astir strengthening that legacy—creating a much competitory institution that tin put successful storytelling, support imaginative talent, and thief guarantee Los Angeles remains nan world superior of intermezo for generations to come.”
