US Department of Justice approves Paramount's purchase of Warner Bros

The antitrust division of the United States Department of Justice announced this Friday that it approved the purchase of Warner Bros. Discovery by Paramount Skydance Corp, worth $110 billion.
Justice Department officials said in a statement that they determined the transaction does not pose a threat to competition in the streaming industry, traditional television or film.
The approval gives Paramount another regulatory green light as it seeks to head off a potential challenge to the deal from U.S. states.
In April, Paramount also asked the U.S. Federal Communications Commission (FCC) to approve foreign investments supporting the acquisition. US senators expressed concerns about the participation of Middle Eastern sovereign wealth funds and Chinese companies. The FCC has not yet announced a decision.
Analysts had expected the DOJ not to challenge the deal due to Paramount's political connections. Paramount Chief Executive David Ellison's father, billionaire Oracle co-founder Larry Ellison, cultivated ties to President Donald Trump, and the company hired former Trump employees.
Paramount argues the deal poses no antitrust concerns and says the merged company will increase competitive pressure on Disney and Netflix.
However, several Hollywood professionals - including actors, directors, writers and producers - have expressed concern that the merger will result in fewer jobs and less diversity in storytelling.
California, New York and other US states are preparing legal action to block the deal, sources familiar with the matter told Reuters last week.

Source: G1