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"You're not going to believe this but Gavin Newsom is taking the side of capital over workers," said one critic.
The Wall Street Journal on Friday reported that California Gov. Gavin Newsom has expressed reservations about his state's antitrust lawsuit that aims to block the $110 billion megamerger between Paramount Skydance and Warner Bros.
According to the Journal's sources, Newsom, who is widely expected to seek the Democratic Party's nomination for the presidency in 2028, has expressed concern about the impact that blocking the merger would have on jobs in Hollywood, and his office has reportedly "encouraged" California Attorney General Rob Bonta to reach a settlement with Paramount.
"It is unclear what impact, if any, Newsom’s urging will have on the California attorney general’s suit," the Journal reported. "Newsom doesn’t have a role in the litigation and doesn’t have authority over the state attorney general’s actions."
Bonta, along with several other Democratic state attorneys general who are co-plaintiffs in the antitrust suit, scored a major victory last week when a federal judge granted a temporary restraining order to pause the merger from going forward. In response, the companies have agreed not to close the deal until five days after a trial is held or next June 1, whichever is sooner.
The combination of Paramount and Warner Bros. has long been controversial because it would put control of CBS, CNN, HBO, TikTok, and other major media properties all under the control of David Ellison, the son of billionaire Larry Ellison, a major donor to President Donald Trump.
Newsom earlier this year told Semafor media reporter Maxwell Tani that he's known David Ellison for years, while emphasizing that California's probe of the proposed merger "isn't a personal attack" on the Paramount CEO.
David Dayen, executive editor of The American Prospect, expressed mock surprise at Newsom reportedly going to bat for the merger.
"You're not going to believe this but Gavin Newsom is taking the side of capital over workers," Dayen wrote. "In this case it's tricky because he's backing the very MAGA allies his cosplaying X account claims he's fighting."
Tech journalist Karl Bode described Newsom's reported efforts to push the merger through as a "nice sneak peak of the sort of media policies you can expect under his presidency."
Elections analyst Nick Field questioned Newsom's reported concern about Hollywood jobs being lost if the merger gets blocked, as corporate consolidation usually coincides with mass layoffs.
"Paramount will undoubtedly cut tons of jobs if they buy Warner Bros., as the Ellisons did when they bought Paramount in the first place," wrote Field. "To say nothing of allowing the Ellisons to own CNN and consolidate more power. Just disgusting supplication from Newsom."
Antitrust advocate Matt Stoller, however, expressed skepticism at the Journal's reporting on Newsom, if for no other reason than the California governor was unlikely to risk hurting his image among Democratic primary voters by pushing through an unpopular corporate merger.
"It would be an odd for Gavin Newsom to encourage the control of Hollywood by close allies of Donald Trump considering his 2028 ambitions," wrote Stoller. "He's not stupid."
California's attorney general called the development "great news for audiences, movie theaters, and the many people who write, build, and create the art, news, and entertainment so many of us enjoy."
Paramount Skydance on Friday officially delayed its attempted acquisition of Warner Bros. Discovery after a federal judge in the Northern District of California temporarily blocked the $111 billion deal at the request of a dozen Democratic attorneys general.
US District Judge Araceli Martínez-Olguín granted the temporary restraining order on Monday after finding that the plaintiffs—led by California Attorney General Rob Bonta—provided "compelling evidence that the combined firm resulting from the transaction will possess substantial market share in the wide-release theatrical distribution market." She extended the order on Thursday.
The companies have now agreed not to close the deal—also the target of a Writers Guild of America lawsuit—until five days after a trial is held or June 1, 2027, whichever is sooner. While the attorneys general and their supporters framed the development as a victory for their side, a Paramount spokesperson similarly said that "today's agreement is a significant win because the result is exactly what we have sought from the outset: a direct path to a trial based on the evidence."
"This is the fastest and clearest way to prove that this transaction is good for competition, good for consumers, and good for creators, a conclusion dozens of competition authorities around the world have already reached," the spokesperson continued. "Plaintiffs' market definitions bear no relationship to the realities of today's marketplace and cannot withstand scrutiny. We look forward to proving our case at trial."
Meanwhile, Bonta said in a statement that "our argument against this illegal merger is straightforward: When too few corporations have too much power in markets central to American life, it makes things more expensive, and it makes things worse."
"Today's agreement is great news for audiences, movie theaters, and the many people who write, build, and create the art, news, and entertainment so many of us enjoy," he emphasized. "We are eager to continue to make our case in court and celebrate another tremendous win in our effort to ensure this unlawful merger never sees the light of day."
Joining Bonta in battle are the attorneys general of Arizona, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, and Washington. They, too, celebrated on Friday.
"Stopping this merger while our case proceeds is a critical victory in our efforts to uphold the law and protect the film and television industries," New York's Letitia James stressed on social media. In a video, New Jersey's Jennifer Davenport also called the companies' decision "a huge win for consumers" and pledged to "continue to fight to block this merger for good."
Responding to one of Davenport's social media posts, actor and activist Mark Ruffalo declared: "Today's news is a repudiation of Paramount's strategy of currying favor with the Trump administration to grease the wheels on this illegal merger—from sham settlement payments to manipulating its own news coverage. Stay strong and #BlockTheMerger."
Some opposition to the deal is rooted in the fact that it would give Paramount CEO David Ellison—the son of billionaire Larry Ellison, a major donor to President Donald Trump—control of CNN, as he already faces mounting criticism for his and Bari Weiss' management of CBS News.
"The Ellisons believed their relationship with President Trump would help them push through a disastrous deal that threatened democracy, creative freedom, and independent journalism. We in the #BlocktheMerger campaign helped prove them wrong," said Norm Eisen, co-founder and executive chair of Democracy Defenders Fund, in a statement.
"Paramount's decision keeps two major studios competing instead of handing one company even more power over what Americans watch, what they pay, and where entertainment workers can earn a living," he continued. "The merger would have eliminated one of Hollywood's largest buyers of scripts and productions while placing Paramount+, HBO Max, CBS News, CNN, and dozens of local stations under the management of one company."
"This victory in putting the merger on hold belongs to the people who refused to treat the merger as inevitable," Eisen added. "Artists, journalists, filmmakers, and consumer advocates spoke out despite the risk of retaliation, more than 5,500 people signed our open letter, and Attorneys General Rob Bonta and Letitia James, along with 10 other attorneys general, acted. This collective resistance is turning the tide."
Craig Aaron, co-CEO of the advocacy group Free Press, said that "Paramount tried to tell us this deal was a slam-dunk, but it just shot an airball. Late in the game, Paramount's lawyers grasped what we've said all along: The states have a very solid case that this deal violates US antitrust law. For the broad and growing coalition against this corrupt and dangerous deal, this delay marks a significant victory."
"Instead of fighting against an injunction and possibly losing now, Paramount's lawyers have resigned themselves to waiting for a full antitrust trial in federal court," Aaron added. "Paramount can pretend all it wants that it looks forward to that test, but that’s just more bluster from company mouthpieces trying to spin a major setback. Now this deal will face its day in court, and we are confident the evidence will show this mega-merger should be blocked."
Regulators announced the penalty as President Donald Trump is considering new tariffs against the European Union.
A day before President Donald Trump was expected to announce new trade tariffs on the European Union, the bloc's regulators on Thursday announced it had fined Google for anticompetitive business practices related to its search engine and app store.
Google has violated the Digital Markets Act (DMA), said the European Commission, by giving priority to its own services in search results and by preventing app developers from steering customers to cheaper products or app stores other than Google's Play Store.
The commission fined Google €460 million ($524 million) for its breach of search engine rules and €430 million ($490 million) for the app store violation, bringing the total fine to more than $1 billion—a fraction of the tech giant's assets. The fine was announced a day after Google parent company Alphabet reported a quarterly profit of $112.1 billion.
Brussels-based journalist Dave Keating quoted Alexandra Geese, a member of European Parliament representing the Green Party, as saying that "the size of this fine is disappointing and bears no relation to the damage Google has done to the European economy."
"Plenty of people would dodge the fare if the fine were cheaper than the ticket," said Geese.
The fine comes weeks after the European Court of Justice upheld a $4.67 billion fine from 2018 over the unfair advantage it gave to its own apps by pre-installing the apps on smartphones.
Teresa Ribera, the commission's executive vice president for a clean, just, and competitive transition, said Thursday that the DMA promises protections for "fairness, choice, and innovation in digital markets for the benefit of all European citizens.”
“The best products should succeed because they’re better, not because they’re owned by the company running the search engine,” said Ribera.
Kent Walker, Google's president of global affairs, claimed the fine would cause "product degradation" and said the company is evaluating a possible appeal.
The fine, he said, will force Google "to strip away real-time search features Europeans love—like instant pricing and direct availability for hotels, flights, and restaurants—and dismantle safety protections on Google Play."
The company has 60 days to comply with the penalty and could face further fines of up to 5% of its global revenue if it fails to do so.
Google has been fined more than $10 billion euros by the EU for anticompetitive behavior since 2017.
Ribera called on the company to return to the negotiating table with European regulators to determine its full compliance with the DMA.
“It is quite a strong message to Google to say: We expect from you a serious proposal in terms of compliance,” she said. “The intention of our regulation is to ensure well-functioning markets, not to punish anyone. But, of course, in certain cases, we need to come up with sanctions.”
The fine was announced hours before Trump's tariffs against 60 countries were set to expire; the president has threatened new tariffs against the European Union in retaliation for what he and Republican lawmakers view as unfair targeting of US tech companies.
But Ribera told reporters that the European Commission is "bound by the law" and announced the fine despite fears in the EU that Trump could retaliate with higher tariffs than the ones he levied last year.
“I don’t think that any of us being part of the Commission could be respected," said Ribera, "if we could decide whether to do or not to do because someone else is trying to tell us what to do.”
"Economic development and economic justice must go hand in hand," said New York City Mayor Zohran Mamdani in announcing Khan's appointment.
New York City Mayor Zohran Mamdani on Wednesday announced he was appointing Lina Khan, a leading champion of enforcing US antitrust laws, to serve as chair of the city's Economic Development Corporation.
In prepared remarks, Khan—the former chair of the Federal Trade Commission—said she looked forward to working with Tony Shorris, the former executive director of the Port Authority of New York and New Jersey who was appointed by Mamdani as the EDC's new president.
The former Biden administration official also gave an overview of what she hoped to achieve at the EDC.
"EDC has key tools to drive projects that grow our economy, create good jobs, promote entrepreneurship, and make life more affordable for New Yorkers," she said. "EDC has enormous capacity to make life materially better for New Yorkers—and to ensure that public resources are helping build state capacity."
A Wednesday report from Gothamist noted that Khan's appointment as chair "amounts to a shakeup for the agency, which has been criticized over the years for being too cozy with business interests," while noting that Shorris' appointment as president "was seen by some as a nod to the business community."
During a news conference announcing the appointments of Khan and Shorris, Mamdani emphasized that "economic development and economic justice must go hand in hand," adding that "this is no radical concept."
"History tells the tale of what happens when a few people have great power over markets that are central to Americans' lives: fewer opportunities for more people, worse products and services for all people," said California Attorney General Rob Bonta.
The $110 billion megamerger between Paramount and Warner Bros., widely criticized as a "disaster" by antitrust advocates, has been temporarily put on hold.
US District Judge Araceli Martínez-Olguín on Monday granted a temporary restraining order sought by several Democratic state attorneys general to pause the merger from going forward.
In her ruling, Martínez-Olguín found that the plaintiffs provided "compelling evidence that the combined firm resulting from the transaction will possess substantial market share in the wide-release theatrical distribution market," meaning that the merger between the two studios is "likely to violate antitrust laws."
The judge—appointed by former President Joe Biden—issued a 14-day restraining order on the merger, writing that "Paramount and Warner Bros. will continue to operate as separate, viable companies competing in the marketplace while they wait for the court to adjudicate this case."
The combination of Paramount and Warner Bros. has long been controversial because it would put control of CBS, CNN, HBO, TikTok, and other major media properties all under the control of David Ellison, the son of billionaire Larry Ellison, a major donor to President Donald Trump.
California Attorney General Rob Bonta, the lead plaintiff in the lawsuit against Paramount-Warner Bros. deal, hailed Martínez-Olguín's ruling as a "critical first win in our case to ensure this megamerger never sees the light of day."
"History tells the tale of what happens when a few people have great power over markets that are central to Americans' lives: fewer opportunities for more people, worse products and services for all people," he said. "With our lawsuit, we're fighting for a free and fair market and a thriving film and television industry that serves creatives and audiences alike."
New York Attorney General Letitia James, a co-plaintiff in the lawsuit, delivered a video statement calling the ruling "an important victory for consumers, for workers, and for fair competition."
"We are taking action to protect New Yorkers from the harms of unlawful corporate consolidation," James added, "and protecting democracy while we're at it."
We just won a court order stopping the merger of @ParamountPics and @warnerbros while our lawsuit continues.
We’re going to keep fighting to keep costs down for consumers, protect jobs, and stop this illegal merger. pic.twitter.com/yfcA0sOoLb
— NY AG James (@NewYorkStateAG) July 20, 2026
Sen. Elizabeth Warren (D-Mass.), a longtime critic of the merger, called the ruling "a WIN thanks to the state attorneys general who stood up and pushed back," and added, "Let's keep up the fight."
Rep. Becca Balint (D-Vt.) said the ruling was "welcome news," while warning that "we're not out of the woods yet."
"This merger would force prices up, bring wages down, and lead to people losing jobs—all to bring TikTok, CNN, and CBS under one roof," Balint observed. "Perhaps Paramount CEO David Ellison can't wine and dine his way through this one after all."
Attorney Norm Eisen, co-founder of Democracy Defenders Action, accused the Ellisons of trying to "rush" the merger over the finish line before courts could examine antitrust claims being made against it.
"Now the case gets decided on the merits," Eisen said.
"With this lawsuit, California and our sister states are fighting for free and fair markets, not rigged markets," said Attorney General Rob Bonta. "America has no kings in government or our economy.”
In filing an antitrust lawsuit against Paramount Skydance over its proposed $111 billion acquisition of Warner Bros. Discovery, 12 state attorneys general on Monday deployed a legal tactic successfully used in 2022 to block another megamerger pushed by book publisher Simon & Schuster.
States including California, New York, Colorado, and Washington argued in the lawsuit that should the merger be approved, just one massive corporation would control more than 30% of anticipated top-grossing blockbuster films with large budgets and audiences, while just four distributors—Paramount, Disney, Universal, and Sony—would control more than 90% of those films.
In 2022, the US Department of Justice (DOJ) argued successfully that Simon & Schuster's proposed acquisition of Penguin Random House would harm competition among book publishers as they vied for the rights to books anticipated to be bestsellers.
California Attorney General Rob Bonta, who is leading the coalition of states in the biggest legal challenge against the merger thus far, said that "the unlawful merger of these two entertainment behemoths would lead to higher prices, lower quality, and less content for film and television, harming movie theaters, basic cable distributors, and ultimately, audiences on every sofa and movie theater seat in the US."
The lawsuit also argues that after the proposed merger, just three distribution companies would control 75% of wide-release theatrical films and 27% of the market in licensing for basic cable television channels.
The merger, said the attorneys general in the US District Court for the Northern District of California, would violate Section 7 of the Clayton Act, which bars business mergers and acquisitions that substantially lessen competition or create a monopoly.
"In this country, no one is above the law," said Bonta. "With this lawsuit, California and our sister states are fighting for free and fair markets, not rigged markets. America has no kings in government or our economy.”
New York Mayor Zohran Mamadani expressed pride that his state was fighting the deal, which he said "is not a merger that serves the public."
The media advocacy group Free Press emphasized that along with reducing competition among film distribution companies, the merger would create a "media colossus" that would also include control over CBS—taken over by Skydance Media CEO David Ellison last year after his company merged with Paramount—and CNN.
The merger would give tech mogul Larry Ellison and his family—allies of President Donald Trump's administration—"the power to shape public discourse at the president’s direction in exchange for the administration’s regulatory approval," said Free Press. "That’s why administration officials like Secretary of Defense Pete Hegseth have openly rooted for the Ellisons to obtain CNN, based on their documented promises to make 'sweeping changes' to the network to please Trump."
Following the Ellisons' takeover of CBS, the leadership of newly appointed right-wing editor-in-chief Bari Weiss has been condemned by First Amendment advocates as Weiss has sought to remake CBS News—spiking a "60 Minutes" segment on Trump's mass deportations and firing the leadership of the flagship investigative news show.
“President Trump and his cronies want to rush this anti-competitive deal through because David Ellison has demonstrated time and again that he will leverage his control of his media empire to silence Trump’s critics and amplify MAGA propaganda," said Free Press co-CEO Jessica González, thanking the state attorneys general for their legal challenge. "That’s corruption, plain and simple. Any merger of this scale would diminish creativity and diversity in entertainment, weaken journalists’ ability to hold those in power accountable, and further endanger our democracy."
"This is especially true when the Ellisons are in charge," said González. "To win approval for their takeover of CBS News, the Ellisons promised to gut hard-hitting reporting across the network—and have gleefully followed through. And they’ll do the same to undermine editorial independence at CNN if they gain control of the global news network."
Although Paramount's proposed merger has already been approved by 20 countries and regions globally, and Trump's DOJ claimed the creation of an even larger media empire was "not likely to harm competition or American consumer,” regulators in the United Kingdom and the European Union have leaned toward looking more closely at the deal. The lawsuit, said González, "means that this corrupt merger is far from a done deal."
"While the administration won’t take a stand against the president’s billionaire cronies, we can still stop the Ellisons’ power grab," said González. "While Paramount is flaunting its corruption and toasting Trump officials, we’re standing with the workers and artists at the heart of the news and entertainment industries—and with the American people, who deserve a diverse and independent media system that works on their behalf, and against the self-interest of greedy billionaires and unethical politicians.”
The lawsuit also followed a series of town halls held in Los Angeles, New York, and Atlanta by the American Economic Liberties Project, titled "Main Street vs. the Merger." Anti-monopoly advocates heard from entertainment workers, small business owners, and others who would be impacted by the Paramount-Warner Bros. deal.
Comedian Adam Conover warned at one town hall that the merger would lead to higher streaming prices, and writers and other media workers shared fears that the deal would lead to mass layoffs.
"I spent the last month meeting with the workers and business owners who’d be hit with this deal,” said Alvaro Bedoya, senior adviser at American Economic Liberties Project, on Monday. “The rich guys who run Paramount can say what they want, but the people who actually work for them know that this will kill jobs and screw over the small businesses that are the lifeblood of this industry. I hope the states win and win fast, because these people need it.”
Lawsuits challenging mergers typically take at least several months and up to a year to be decided by a judge, and the states are asking the companies to freeze the proposed merger deal—which was set to close in the third quarter of 2026—which the case is being adjudicated. California also said it would seek a temporary restraining order if the companies did not agree to pause the deal.
Paramount has agreed to pay Warner Bros. Discovery shareholders $650 million for each quarter the deal isn't finalized, starting in October.
“This illegal merger would mean layoffs for artists and workers, higher prices for consumers, and the death of Hollywood,” said Matt Stoller, research director at American Economic Liberties Project. “State enforcers have done the right thing in seeking to block it. It is time to stop oligarchs from strip-mining our culture and selling America off for parts. Blocking this megamerger is the first step in doing so.”
“Consumers are getting really screwed by all of this,” said one critic.
Political appointees installed by President Donald Trump are overruling career attorneys inside the Department of Justice's Antitrust Division, intervening to weaken or halt investigations into major corporate mergers in a way never seen before, MS NOW reported Thursday.
Three unnamed sources told the outlet "that DOJ staff have privately complained that the Trump administration is essentially deciding not to enforce antitrust laws that are critical to keeping companies from becoming single-source providers and being able to charge enormous sums for their product or service."
According to MS NOW:
The two mergers that DOJ leaders are ramming through include two low-cost Mexican air carriers, Viva Aerobus and Volaris, who announced their plans to merge last year, and the proposed merger of the Italian firm Saipem and UK firm Subsea7, who together control a sizable portion of sales for equipment used for subsea oil operations. Major oil companies, including ExxonMobil, Petrobras and TotalEnergies, have filed formal objections with federal regulators about the latter merger, arguing to antitrust regulators that the combined firms will create a subsea monopoly that will increase costs, delay critical projects and force clients into expensive, long-term contracts.
Experts say the aforementioned mergers are likely to drive up prices US consumers pay for airfare to Mexico and at the gas pump, yet again giving the lie to Trump's "America First" pledge.
Current and former DOJ officials described Trump's interference as without precedent.
“It’s unilateral surrender on antitrust enforcement; it’s absolutely unprecedented,” Bill Baer, the former assistant attorney general for the antitrust division during the Obama administration. “It’s definitely going to hurt consumers. It means prices will go up, concentration is going to increase—and quality often diminishes when you have only a few firms operating in the same market.”
The DOJ Antitrust Division was originally launched more than a century ago during the tail-end of the Progressive Era to combat monopolies and enforce antitrust legislation like the Clayton Antitrust Act and the Gilded Age-era Sherman Act. It was formally created during the Great Depression following weak enforcement of the Sherman and Clayton acts, as the Franklin D. Roosevelt administration viewed concentrated corporate power as a threat not only to consumers but to democracy itself.
While the postwar decades saw relatively aggressive antitrust enforcement by presidents of both major parties, the Reagan administration adopted a much more permissive merger philosophy that laid the groundwork for decades of consolidation across industries that has continued to this day, despite limited antitrust revivals during the Obama and Biden administrations.
Biden-era Federal Trade Commission Chair Lina Khan and DOJ officials pursued a more aggressive antitrust agenda that Trump has been rolling back in favor of deregulation. Critics have pointed out that Trump has sometimes used antitrust mechanisms selectively, targeting certain media or technology companies for political reasons rather than consistently applying a broad anti-monopoly approach.
According to an article published last month in The Wall Street Journal, Stanley Woodward, the senior DOJ official now overseeing antitrust enforcement, has told department lawyers that he favors resolving cases through settlements rather than taking corporations to trial. Some antitrust attorneys interpreted the remarks as a directive to avoid litigation and seek settlements in ongoing and future cases. Critics say Woodward’s posture could weaken the DOJ's ability to challenge monopolistic mergers in favor of fast-tracked settlements.
"He's taking litigation off the table, and you don’t get a settlement absent a litigation threat,” one person with knowledge of Woodward's actions told MS NOW. “I can’t think of an administration in history that would want to run antitrust policy like this.”
“Consumers are getting really screwed by all of this,” the person continued. “We’re talking 10 years of consumer harm that can’t be undone.”
"We need robust enforcement of antitrust and fair trade practice laws to finally protect producers from meatpackers’ fundamentally unfair and illegal practices," said one campaigner.
A leading government accountability watchdog group on Monday ripped the Trump administration's move to rescind Biden-era rules enacted to protect ranchers and farmers from abuse by meatpacking corporations and boost competition in the key industry.
The US Department of Agriculture (USDA) has announced the reversal of three Biden administration rules under the Packers and Stockyards Act of 1921. One of the rules prohibits meatpackers, swine contractors, and poultry companies from retaliating against producers for actions like joining associations, speaking with regulators, or seeking other buyers.
Another rule mandated improved transparency in poultry grower contracts. The third rule‚ which was set to take effect this month, would have limited how poultry companies use the tournament payment system.
USDA said it plans to start the revocation process with proposed rulemakings scheduled for later this month and October.
Farm groups and antitrust advocates argue the move removes protections against monopolistic, deceptive, and retaliatory practices by dominant meatpacking and poultry companies.
“For years, meat corporations have abused hardworking farmers and ranchers. Now, the Trump administration is proposing to undo long-overdue progress made to level the playing field," Emily Miller, staff attorney at Food & Water Watch, said Monday in a statement. "This move is a slap in the face to all those who have long fought for fair treatment in livestock and poultry markets."
The USDA's move comes amid increased meat sector consolidation, which studies by Food & Water Watch, More Perfect Union, and others have found results in higher consumer prices and lower farmer profits.
Over the course of his two terms in office, Trump has boosted the meatpacking industry at the expense of worker rights, competition, and public health. His administration refused to issue binding rules requiring businesses to institute safety measures amid the Covid-19 pandemic, and he invoked the Defense Production Act to classify meatpacking plants as critical infrastructure and force them to stay open even as the coronavirus ravaged industry workers.
Trump has also supported corporate monopolization in meatpacking, and his administration has shut down a Department of Justice antitrust probe of alleged industry collusion. Just four meatpackers control approximately 80% of the market. Meanwhile, cattle producers who in 1980 received 63 cents for every dollar paid by consumers for beef were receiving just 37 cents four decades later.
"We need robust enforcement of antitrust and fair trade practice laws to finally protect producers from meatpackers’ fundamentally unfair and illegal practices," Miller said on Monday. "These rollbacks will do the opposite. We won’t rest until USDA does its job by putting producers above corporations.”
"The American people need to know if this merger was approved as a political favor," said Sen. Elizabeth Warren.
The leadership of President Donald Trump's Justice Department shut down an investigation into Paramount's widely criticized bid to acquire Warner Bros. Discovery and issued a statement supporting the merger before career antitrust attorneys could finish scrutinizing the proposal, The Wall Street Journal reported on Monday.
According to the Journal, which cited unnamed people familiar with the matter, "a team of career lawyers who had spent months scrutinizing the deal 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." The newspaper reported that the antitrust staffers who investigated the $111 billion merger proposal "didn't participate in writing" the Justice Department statement greenlighting the deal.
“When we said this is what corruption looks like, this is what we meant," the Block the Merger coalition, an alliance of dozens of organizations opposed to the deal, said in a statement late Monday.
DOJ leadership's move to clear the deal was just the latest in a string of merger approvals that have drawn suspicion, given that the Justice Department has been accused of giving corporate lobbyists free rein over antitrust policy. The DOJ's antitrust section is currently headed by Associate Attorney General Stanley Woodward, who—according to a fired antitrust official—"perverted justice and acted inconsistent with the rule of law" during a separate merger investigation.
"The American people need to know if this merger was approved as a political favor," Sen. Elizabeth Warren (D-Mass.) wrote in response to the Journal's reporting. "This reeks of corruption."
Unreal. Justice Department staff were railroaded again by political interference in the Paramount-Warner Bros merger review.
None of the investigators on the deal had any role in writing the unprecedented clearance statement issued by DOJ last Friday. pic.twitter.com/yYcKUpuos3
— Lee Hepner (@LeeHepner) June 15, 2026
If finalized, Paramount Skydance's proposed acquisition of Warner Bros. would leave CBS, CNN, HBO, and other major media properties under the control of the son of billionaire Trump megadonor Larry Ellison, posing what one coalition called "an existential threat to the free press." David Ellison, the CEO of Paramount Skydance, dined with the president in April at an event "honoring the Trump White House."
The proposed merger is still facing antitrust scrutiny in Europe and from state attorneys general in the US.
The Journal reported that "some staffers" in the DOJ's antitrust division believe the Justice Department's statement backing the merger and getting it over a major regulatory hurdle "was designed to make it harder for state attorneys general to challenge the deal in court." In the statement, the DOJ declared that "the transaction is not likely to result in harm to competition or American consumers."
Rob Bonta, California's attorney general, said in response to the Justice Department's decision that "the merger of Warner Bros and Paramount is not a done deal and remains under investigation by my office."
The pending Paramount-Warner Bros. Discovery merger "represents an existential threat to the free press, independent media, and free speech in this country and beyond," warned several press freedom groups.
A coalition of nine press freedom groups on Tuesday warned that last week's firings of top journalists at CBS News' "60 Minutes" were a "grotesque effort taken straight from an authoritarian handbook"—but emphasized that the dismissal of reporters who had pushed back against the Trump administration signaled danger for journalists across the media, particularly as a pending merger would hand control of CNN to the same billionaire family that how runs CBS.
The Coalition for Women in Journalism, Common Cause, Freedom of the Press Foundation, and Reporters Without Borders were among the groups that released a statement saying the firing of "60 Minutes" correspondents Sharyn Alfonsi and Cecilia Vega—as well as two top executives—were meant to "appease a sitting president and dismantle one of the loudest voices in investigative journalism."
But the groups emphasized that "this is only the beginning," considering the fact that Warner Bros. Discovery recently voted in support of a $110 billion proposed merger with Paramount Skydance, owned by David Ellison, the son of President Donald Trump megadonor Larry Ellison. The deal could be finalized as soon as July.
Warner Bros. Discovery owns CNN, and media critics have warned the network could be headed for the same loss of editorial independence that CBS has faced since right-wing former opinion columnist took the helm of the latter network last year following the Paramount Skydance merger.
Since then, newly appointed editor-in-chief Bari Weiss has pulled from the air a "60 Minutes" segment that questioned the Trump administration's explanation for the deportation of hundreds of immigrants to an El Salvador prison, personally booked guests for news programs, and called for programming that appeals to "centrist" viewers.
"Bari Weiss’ shameless actions fulfill the Ellisons’ commitment to President Trump to remake CBS to his liking," said the groups on Tuesday. "Larry Ellison has reportedly promised to do the same at CNN if allowed to take control through the pending Paramount-Warner Bros. Discovery merger. Not because it makes any business sense, but because they seek to control the public discourse."
"We have to make the story heard. It’s what '60 Minutes' would have done; it’s what the Fourth Estate is tasked with doing; it’s what Trump and the Ellisons want to prevent. Don’t let them.”
The groups noted that the firings of Alfonsi, Vega, executive producer Tanya Simon, and executive editor Draggan Mihailovich came as more than 200 journalists and documentarians signed an open letter opposing the Paramount-Warner Bros. merger, citing concerns that the deal "would open the door to improper political meddling in journalists’ editorial decisions," and noting that according to The Wall Street Journal, David Ellison has "promised President Donald Trump 'sweeping changes' at Warner-owned CNN—a frequent target of Trump’s ire."
"Ellison will likely alter CNN’s editorial direction (not to mention meddle with HBO’s documentaries) to be more friendly to the administration, threatening press freedom," said the signatories, including Wajahat Ali, Mehdi Hasan, and Alfonsi.
A separate letter organized by Democracy Defenders Fund has garnered signatures from over 1,000 actors, producers, directors, screenwriters, and other entertainment professionals.
"This transaction would further consolidate an already concentrated media landscape, reducing competition at a moment when our industries—and the audiences we serve—can least afford it," reads the letter, which calls for state attorneys general to block the merger. "The result will be fewer opportunities for creators, fewer jobs across the production ecosystem, higher costs, and less choice for audiences in the United States and around the world. Alarmingly, this merger would reduce the number of major US film studios to just four."
On Tuesday, the press freedom groups warned that the merger "represents an existential threat to the free press, independent media, and free speech in this country and beyond, and should not be allowed to move forward."
"We cannot let this blow to the bedrock of our democracy be lost in the constant barrage of scandal, corruption, and abuse of power," said the organizations. "We have to make the story heard. It’s what '60 Minutes' would have done; it’s what the Fourth Estate is tasked with doing; it’s what Trump and the Ellisons want to prevent. Don’t let them.”