Paramount Accuses Warner Bros. Discovery of Rigging Sale Process in Favour of Netflix Bid
By Samaran , Founding Editor
theindiancinema.com
December 4, 2025
Los Angeles/New York: In a dramatic escalation of Hollywood’s biggest ongoing merger saga, Paramount Global has formally accused Warner Bros. Discovery (WBD) of conducting an “unfair and manipulative” bidding process for the potential acquisition of Paramount, alleging that WBD’s senior management is actively steering the sale towards Netflix despite higher offers from other parties.
Sources close to Paramount’s special committee told trade publications on Wednesday that the studio has sent a strongly worded letter to WBD leadership claiming the process “lacks transparency and appears designed to favour one bidder — Netflix — at the expense of maximising shareholder value.” Paramount has reportedly demanded immediate access to all communications between WBD executives and Netflix regarding the possible transaction.
The accusation marks the first time a major studio has publicly alleged collusion-like behaviour in what was supposed to be an open auction overseen by investment bankers. Paramount Global, controlled by Shari Redstone’s National Amusements, has been exploring “strategic options” since early 2024, attracting interest from Skydance Media, Apollo Global Management, Sony Pictures, and most recently Netflix and Warner Bros. Discovery.
Industry insiders say Netflix’s late entry into the race — reportedly a hybrid cash-and-stock offer that would see the streaming giant absorb Paramount’s film and TV assets while spinning off CBS and cable networks — has complicated an already chaotic process. Warner Bros. Discovery CEO David Zaslav and his team are said to be “personally enthusiastic” about a Netflix deal, believing it would create a stronger streaming competitor to Disney and Amazon while allowing WBD to avoid antitrust headaches that would accompany its own full acquisition of Paramount.
Paramount’s complaint reportedly points to several irregularities:
– Alleged exclusion of certain bidders from updated financial data
– Unusually short response windows for revised offers
– Direct negotiations between WBD executives and Netflix that bypass the formal data room process
Neither Paramount Global nor Warner Bros. Discovery responded to requests for comment by press time. Netflix declined to comment on “rumour or speculation.”
The development throws yet another wrench into a sale process that has already seen multiple deadlines slip through 2025. Analysts now warn that continued delays and legal challenges could push any final deal into 2026, further eroding Paramount’s market value and leaving iconic assets like Paramount Pictures, CBS, and the Indian-born Paramount+ partner Viacom18 in prolonged limbo.
As one Hollywood dealmaker put it: “This isn’t just about money anymore. It’s about who gets to write the last chapter of the studio system — and nobody wants to lose to a streamer.”
More to follow as the story develops.
Samaran is the Founding Editor of The Indian Cinema. He has covered global media mergers for over two decades.
