The US Department of Justice approved the Paramount/Warner Bros. merger, surprising its own lawyers, but multiple US states and the EU are planning legal challenges.
<p>When the US Department of Justice approved Paramount Skydance's proposed acquisition of Warner Bros. Discovery on Friday, <a href="https://www.justice.gov/opa/pr/statement-department-justice-antitrust-division-closing-its-investigation-merger-paramount">a DOJ press release</a> said "a rigorous eight-month investigation led by the [Antitrust] Division’s career staff" showed that the $111 billion deal would not harm competition or American consumers.</p>
<p>But <a href="https://www.wsj.com/business/media/justice-department-decision-to-allow-paramount-deal-surprised-staff-investigators-a18f70da">according to The Wall Street Journal</a>, the DOJ career lawyers who led that investigation "were leaning toward recommending a lawsuit challenging it on the grounds that the combination of the two movie studios would be anticompetitive and violate antitrust law." DOJ senior leaders closed the investigation "before career staffers who were concerned about the acquisition had an opportunity to object, according to people familiar with the matter," the WSJ reported.</p>
<p><a href="https://bsky.app/profile/warren.senate.gov/post/3moebqfoyk222">Commenting on</a> the report that the decision to allow the deal surprised staff investigators, Sen. Elizabeth Warren (D-Mass.) wrote that "the American people need to know if this merger was approved as a political favor. This reeks of corruption."</p><p><a href="https://arstechnica.com/tech-policy/2026/06/us-approval-of-paramount-warner-bros-deal-surprised-doj-lawyers-report-says/">Read full article</a></p>
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# US approval of Paramount/Warner Bros. deal surprised DOJ lawyers, report says
Source: [https://arstechnica.com/tech-policy/2026/06/us-approval-of-paramount-warner-bros-deal-surprised-doj-lawyers-report-says/](https://arstechnica.com/tech-policy/2026/06/us-approval-of-paramount-warner-bros-deal-surprised-doj-lawyers-report-says/)
Slater’s replacement, Acting Assistant Attorney General Omeed Assefi, insisted in an[interview with Reuters](https://www.reuters.com/world/doj-antitrust-head-says-paramountwarner-bros-deal-review-is-not-political-2026-03-18/)in March that the Paramount/Warner deal will not be fast\-tracked for approval because of political factors\. “The idea that somehow enforcement has been politicized is ludicrous,” he said\.
## DOJ says merger will boost competition
The DOJ announcement of its approval said the deal is likely to increase competition in the streaming video market “by offering consumers a more robust competitive alternative” to the larger offerings\. The deal would[combine](https://arstechnica.com/gadgets/2026/02/under-a-paramount-wbd-merger-two-struggling-media-giants-would-unite/)Paramount\+ with HBO Max\.
The DOJ also said the merger is unlikely to harm competition in the market for development, production, and distribution of theatrical films\. “Instead, the evidence shows extensive competition within the industry, which has generated greater output and diversity of film offerings, and is likely to continue unabated,” the DOJ announcement said\.
Although Paramount won over federal regulators, it will likely have to fight a lawsuit from California, New York, and other US states\. The states[reportedly](https://www.reuters.com/world/us-states-are-preparing-lawsuit-block-paramounts-acquisition-warner-bros-2026-06-05/)plan to file a lawsuit seeking to block the merger in the coming weeks\. Meanwhile, European Union regulators are[scrutinizing](https://www.reuters.com/legal/litigation/paramount-warner-bros-deal-under-eu-subsidy-scrutiny-decision-due-july-14-2026-06-10/)the deal’s financing and impacts on competition\.
US states also diverged with the Trump administration in a fight against Live Nation and its Ticketmaster subsidiary\. The Biden\-era Department of Justice and most US states sued Live Nation in 2024, but the Trump administration[blindsided state attorneys general](https://arstechnica.com/tech-policy/2026/03/us-blindsides-states-with-surprise-settlement-in-live-nation-ticketmaster-trial/)in the middle of the resulting trial by agreeing to stop its pursuit of a breakup\.
The states continued the litigation after the Trump administration dropped out, and they won the trial\. A federal jury[ruled in April](https://arstechnica.com/tech-policy/2026/04/jury-finds-live-nation-ticketmaster-is-illegal-monopoly-that-overcharged-fans/)that Live Nation and Ticketmaster operate an illegal monopoly that overcharged fans for tickets\. There is a separate proceeding to determine damages and potential remedies, which could include a breakup of the company\.
Paramount accuses Netflix of waging a 'scorched-earth campaign' against the proposed Paramount-WBD merger, citing regulatory filings and labor union concerns. The merger is expected to result in job losses and over $79 billion in debt, while Paramount claims it will increase content production.
More than 30 states are asking a federal judge to order the breakup of Live Nation-Ticketmaster after a jury found it to be an illegal monopolist, seeking remedies far beyond the DOJ's settlement.
A federal judge delays approval of Anthropic's $1.5 billion copyright settlement, as authors object to excessive legal fees and low individual payouts.
Google has officially filed its appeal against a federal ruling that deemed it an illegal search monopolist, arguing that it won the market fairly and that the court's remedies were excessive.
The European Court of Justice upheld Italy's requirement that Meta negotiate compensation with publishers, while US rulings favor broad fair use for AI training, highlighting a growing divergence in AI legislation between Europe and the US.