The Trump administration reportedly appears to favor Paramount Skydance in its bid to acquire Warner Bros. Discovery, a move that could reshape the entertainment landscape and challenge Hollywood’s usual power players. Several competing bidders face what insiders describe as steep obstacles from federal regulators who are expected to scrutinize the proposed mega-deal closely.

Paramount Skydance is the media company led by CEO David Ellison, son of Oracle founder and Trump ally Larry Ellison. According to a senior administration official, “Who owns Warner Bros. Discovery is very important to the administration. The Warner board needs to think very seriously not just on the price competition but which player in the suitor pool has been successful getting a deal done. And that points to the Ellisons.”

Warner Bros. Discovery (WBD) controls a top-ranked film studio, major streaming services, and properties such as HBO and CNN. Its sale could fetch as much as $80 billion. While several tech and media giants have shown interest, only Ellison’s company is believed to be in a position to win quick regulatory approval.

Competitors like Netflix, Amazon, and Comcast all carry what officials describe as “baggage.” Netflix’s dominance in streaming and Amazon’s ongoing scrutiny from the Federal Trade Commission raise antitrust concerns. Comcast, which owns NBC and MSNBC, faces a different problem: the administration’s skepticism toward what it considers anti-Trump coverage across its media properties. One official remarked, “The odds that Brian Roberts is going to be able to expand and buy CNN or whatever is low.”

WBD chief David Zaslav is said to be pursuing alternate scenarios that could appeal to free market voices inside the White House. Sources say Comcast may also argue for eligibility, emphasizing plans to spin off MSNBC into a separate company. But regulatory realities may overshadow these strategies. “Warner really needs to think hard about the odds of success getting the deal cleared with players outside of Paramount Skydance,” a senior administration figure said.

Neither WBD nor Paramount Skydance offered comment, and the Justice Department’s antitrust division declined to respond. However, the Ellisons’ political and financial leverage is widely seen as a critical factor. Makan Delrahim, the DOJ antitrust chief during Trump’s first term, has reportedly joined the Paramount Skydance team to help navigate the process.

Zaslav has already rejected three private offers from Ellison, including one valued at $23.50 per share. The next step may be a public takeover attempt designed to pressure shareholders into approving a deal. Insiders expect that Ellison’s deep pockets and White House connections could make this the only realistic path forward.

Larry Ellison, worth around $350 billion, is not only one of the wealthiest figures in technology but also one of President Trump’s most trusted supporters. His previous collaboration with the Trump team involved an $8 billion purchase of Paramount, following a $16 million settlement over a lawsuit tied to CBS News’s 2024 election coverage. Since then, CBS has appointed journalist Bari Weiss to oversee editorial standards and reduce political bias. President Trump praised the Ellisons as “friends” and “big supporters of mine,” adding that he believes they will make CBS “fairer.”

That approval may soon extend to Warner Bros. Discovery. The real question now is whether any other suitor can clear the regulatory and political hurdles fast enough, or whether the Ellison family’s strong ties to the Trump administration have already decided the outcome.

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