Selling CNN could be the key to reviving the paused merger talks between Paramount Global and David Ellison's Skydance Media. Ellison, who has been pursuing a deal to acquire Paramount, has reportedly expressed concerns about CNN's financial performance and its integration into the larger media company.

Sources familiar with the matter suggest that divesting CNN would streamline Paramount's assets and potentially make the company more attractive to Ellison and his investors. This move could address some of the valuation discrepancies that have stalled negotiations.

Paramount Global has been exploring strategic options as it faces a challenging media landscape. The potential sale of CNN, a significant but underperforming asset, might be the breakthrough needed to move forward with the Skydance deal. The future of the merger hinges on these complex financial and strategic considerations, with CNN's fate a central point of contention.