FCC Approves Paramount-Skydance Merger
The FCC approved the $8 billion Paramount-Skydance merger three weeks after Paramount paid $16 million to settle Trump's lawsuit — a sequence that raised questions about regulatory quid pro quo.
The Deal
The $8 billion Skydance-Paramount merger required FCC approval because Paramount held broadcast licenses. The FCC’s approval on July 24, 2025, came just three weeks after Paramount’s $16 million settlement with Trump. The merger officially closed on August 7, 2025.
Regulatory Leverage
The merger established a template that would repeat with the Colbert controversy: Paramount’s need for federal regulatory approval created a vulnerability that the administration could exploit. By February 2026, with a hostile $108 billion bid for Warner Bros. Discovery on the table, that vulnerability was even greater — and CBS lawyers acted accordingly.