The Department of Justice has decided not to challenge the merger between Paramount and Warner Bros, considering that it will not harm competition.

Following an eight-month investigation, the antitrust division of the Department of Justice concluded that the merger between Paramount and Warner Bros will not negatively affect competition or American consumers in the fields of streaming, television, or film production. The Department decided not to challenge the agreement, without requesting asset divestiture. This merger could enhance competition in the media ecosystem, providing a stronger alternative to industry leaders like Netflix and Disney+. However, there are concerns in Hollywood about potential job losses. The Department of Justice dismissed these fears, stating that they do not raise antitrust issues. Although the federal obstacle has been removed, a group of states, led by California, is preparing an antitrust lawsuit. In Europe, regulatory authorities are examining the legality of the merger. The new conglomerate would combine the assets of the two companies, having the potential to attract around 200 million subscribers.