# Paramount Wins Warner Bros. Deal with Minor Terms

> California AG secures $1.5bn film investment pledge from Paramount-Warner merger.
- Title: Paramount Wins Warner Bros. Deal with Minor Terms | Shortify
- Summary: California AG secures $1.5bn film investment pledge from Paramount-Warner merger. California Attorney General Rob Bonta secured a settlement allowing…
- Keywords: california attorney general, paramount, warner bros discovery, merger, film production, independent editorial boards, cbs news, cnn, consent decree, antitrust, united states, hollywood
- Source: The Hollywood Reporter — https://hollywoodreporter.com/business/business-news/paramount-warner-bros-states-1236706935
- Author: Erik Hayden
- Published: 2026-09-21T18:24:15+00:00
- Read time: 1 min
- Topics: california attorney general, paramount, warner bros discovery, merger, film production, independent editorial boards, cbs news, cnn, consent decree, antitrust, united states, hollywood
## California AG Rob Bonta
California Attorney General Rob Bonta unveiled a settlement with David Ellison to allow Paramount to merge with Warner Bros. Discovery.

> I don't think these two companies should merge
## Paramount's $1.5bn Film Commitment
Paramount must invest $1.5 billion in domestic film production over five years to meet antitrust concerns.

> Paramount would invest $1.5 billion in domestic production over five years
## Independent Editorial Boards
CBS News and CNN will have independent editorial boards under the new merger terms.

> CBS News and CNN would have independent editorial boards
## Cable Channel Negotiations
Paramount and Warner Bros. cable channels must negotiate separate affiliate agreements.

> Paramount and Warners cable channels will have to negotiate affiliate agreements separately
## Workforce Training Fund
Paramount must invest $9.5 million annually in workforce training for film and TV production communities.

> The studios also need to invest $9.5 million a year in workforce training
## Indie Film Fund
Paramount will start a $5 million annual fund to bankroll independent movies.

> Paramount will start a $5 million annual fund to bankroll indie movies
## State Reimbursement
Paramount will pay $40 million to reimburse 12 states for attorneys' and economic expert fees.

> Paramount will also pay $40 million to reimburse the 12 states
## Film Output Commitment
Paramount must produce 30 films annually with $50 million or more budgets on 3,000 screens.

> 20 percent of those 30 pledged Paramount-Warner Bros. features each year be budgeted at $50 million or more
## Penalty for Shortfall
Paramount faces a $30 million penalty per film if they fail to meet the 30-film annual target.

> They would be hit with a $30 million penalty per film
## State Lawsuit Outcome
California AG secured a settlement after 12 states sued to block the Paramount-Warner merger.

> The states had argued that Paramount’s devouring of Warner Bros. Discovery was a monopoly concern
## Hollywood Union Concerns
Hollywood unions fear reduced bargaining power with fewer studios after the merger.

> The Writers Guild brought up the monopsony issues
## Merger Timeline
The merger was blocked by antitrust lawsuits until a settlement was reached in early 2024.

> The states had argued that Paramount’s devouring of Warner Bros. Discovery was a monopoly concern
## Studio Lots Remain
Paramount and Warner Bros. studio lots in Los Angeles will stay as they are for five years.

> The studio lots in Los Angeles County can't be sold during the commitment period
## Key takeaway

California Attorney General Rob Bonta secured a settlement allowing Paramount to merge with Warner Bros. Discovery after 12 states sued, requiring $1.5 billion in domestic film production over five years and independent editorial boards for CBS News and CNN.