Paramount's WBD takeover 'is not a done deal,' says California's attorney general

• California's attorney general is investigating Paramount's Warner Bros. merger, citing antitrust issues.
• California Attorney General Rob Bonta said the merger had not "cleared regulatory scrutiny."
• Netflix walked away from its bid for Warner Bros. on Thursday.

Netflix dropped its bid for Warner Bros. Discovery, clearing a path for Paramount Skydance. But California's attorney general is saying — not so fast, Hollywood.

On Thursday, California Attorney General Rob Bonta said the state's Department of Justice had opened an investigation into the merger, stating the deal hasn't "cleared regulatory scrutiny."

Bonta previously expressed antitrust concerns about a potential consolidation — whether either Netflix or Paramount was victorious — given the entertainment industry's importance to California's economy.

"Further consolidation in markets that are central to American economic life does not serve our economy, consumers, or competition well," Bonta said in a statement last week. "In fact, consolidation of markets has led to increased unaffordability, a loss of good-paying job opportunities, and fewer choices for consumers."

Netflix and Paramount Skydance have been vying for Warner Bros. in an ongoing saga that began in the fall of 2025. Netflix had early frontrunner status — Warner Bros. Discovery initially accepted its offer.

A hostile bid launched by Paramount Skydance CEO David Ellison, which was upped this week to $31 per share for all of Warner Bros. Discovery, was ultimately accepted by the Warner Bros. board on Thursday.

Netflix declined to up its initial $27.75 per share for only WBD's streaming and studio assets, ending the media faceoff.