A coalition of 12 Democratic state attorneys‑general, led by California’s Rob Bonta, has filed an antitrust lawsuit to stop Paramount Skydance’s acquisition of Warner Bros Discovery, a transaction valued at $110bn. The complaint argues the merger would “extinguish competition” and allow the combined firm to pocket more than a quarter of every dollar generated by wide‑release films and basic cable, harming cinemas, distributors and audiences.

Paramount counters that the lawsuit is “wrong on both the facts and the law” and says the merger will better position the company to compete with Netflix. The deal, approved by the DOJ and expected to be cleared by the European Commission, would unite Paramount+, HBO Max, CBS, MTV and CNN under one umbrella, creating a media powerhouse.

To sweeten the offer, Paramount pledged a “ticking fee” of $650mn per quarter to Warner Bros Discovery shareholders after September. The deal will be funded with roughly $80bn of debt and is slated to trigger significant job cuts, including in California. Hollywood figures such as JJ Abrams, David Fincher, Emma Thompson and Ben Stiller have voiced opposition, fearing reduced editorial diversity and higher consumer prices.