The fight over the future of Hollywood just got nastier.

Paramount Skydance Corp. launched a hostile takeover bid for Warner Bros. Discovery Inc. at $30 a share in cash on Monday, just days after the company agreed to a deal with Netflix Inc. The offer values Warner Bros. at $108.4 billion, including debt.

The bid compares with Netflix’s offer of $27.75 in cash and stock, for an enterprise value of about $82.7 billion including debt. Paramount’s offer is for all of Warner Bros., while Netflix is interested only in the Hollywood studios, HBO and the streaming business.

Warner Bros. investors “deserve an opportunity to consider our superior all-cash offer for their shares in the entire company,” Paramount Chief Executive Officer David Ellison said in a statement.

The battle between Netflix and Paramount stands to reshape the entertainment industry regardless of who wins. With Warner Bros. films and TV shows, Netflix would wield tremendous new power over the content offered to online audiences. Paramount aims to marry two legacy Hollywood studios to counter the influence of Netflix, Walt Disney Co. and Amazon.com Inc.

Both bids raise significant antitrust concerns, underscored by multibillion-dollar breakup fees the parties have offered, and both companies have been laying the groundwork to win over the White House.

Warner Bros. will “carefully review and consider Paramount Skydance’s offer,” according to a statement Monday. The board isn’t modifying its recommendation regarding the Netflix bid, which it approved last week. Warner Bros. said it aims to advise stockholders on the board’s recommendation for the Paramount offer within 10 business days.

Paramount, the parent of CBS, MTV and other media businesses, instigated the battle several months ago when it made multiple offers for Warner Bros. The company decided to put itself up for sale in October and received several rounds of bids, including from Netflix and Comcast Corp.

Comcast said Monday it didn’t see a “high likelihood” of winning.

Warner Bros. shares were up 3.1% to $26.90 at 1:35 p.m. in New York on Monday. Paramount was up 8%, while Netflix was down 4.3%.

Paramount argues that its $30-a-share offer is greater than Netflix’s, but comparing the two bids is complicated by Warner Bros.’ plans to spin off cable networks such as CNN, TNT and the Discovery Channel.

Under terms of the Dec. 5 deal announced with Netflix, Warner Bros. would divest those networks before the planned merger closes.

Paramount is valuing the spinoff at about $2 a share for Warner investors, according to a person close to the Paramount bid. Bloomberg Intelligence analyst Geetha Ranganathan estimates the cable channels are worth $4 for every Warner Bros. share, making the Netflix bid higher.

Paramount also said its offer gives Warner Bros. shareholders $18 billion more in cash than the Netflix bid. On a conference call with investors, Chief Operating Officer Andy Gordon said Paramount’s tender offer will be open for 20 business days and could be extended. Warner Bros. has 10 days to respond, he said.

“We’re really here to finish what we started,” Ellison said on CNBC.

Both bidders are likely to face an extended review by regulators all over the globe, though Paramount argues its transaction is more likely to be approved because Netflix has a much larger share of the streaming TV market than Paramount+.

Netflix co-Chief Executive Officer Ted Sarandos has personally courted President Donald Trump, meeting him at the White House last month and last year at Trump’s Mar-a-Lago Club in Florida. He has argued Netflix competes with services like YouTube and ByteDance Ltd.’s TikTok, as well as with Hollywood.

Ellison has touted his family’s good relations with the president. Trump’s son-in-law, Jared Kushner, is participating in the Paramount offer through his Affinity Partners.

When asked about the Netflix deal on Sunday, Trump said it will “go through a process” and that “it is a big market share. It could be a problem.”

Trump on Monday criticized CBS’s 60 Minutes following an interview the program had with U.S. Representative Marjorie Taylor Greene. He said CBS parent Paramount is “no better than the old ownership.”

If Warner Bros. breaks its current agreement it will be required to pay Netflix a $2.8 billion fee, an expense typically borne by the new acquirer. Netflix has agreed to pay $5.8 billion to Warner Bros. if the deal falls through on its end or doesn’t win regulatory approval.

According to a person familiar with Warner Bros.’ thinking, it will take an offer of about $33 a share to get the company to reconsider the Netflix sale.

In a regulatory filing, Paramount said the financing for its bid includes $11.8 billion from the Ellison family, $24 billion from three Middle East sovereign wealth funds, and additional funds from RedBird Capital Partners and Affinity Partners. Ellison is the son of Oracle Corp. co-founder Larry Ellison, one of the world’s richest people. China’s Tencent Holdings Ltd., which had planned to participate, has dropped out, according to Paramount.

Paramount doesn’t anticipate a review by the Committee on Foreign Investment in the U.S., a federal authority that scrutinizes deals with international funding.

“The Warner Bros Discovery acquisition is far from over,” said Ross Benes, an analyst at Emarketer. “Netflix is in the driver’s seat but there will be twists and turns before the finish line. Paramount will appeal to shareholders, regulators, and politicians to try to stymie Netflix. The battle could become prolonged.”

Bets on the prediction marketplace Polymarket showed a 16% chance of Netflix closing the acquisition by the end of 2026, down from around 23% before Paramount made the hostile bid.

©2025 Bloomberg L.P. Visit bloomberg.com. Distributed by Tribune Content Agency, LLC.