What happens when a foreign country with a lot of rules and laws comes in and buys a movie studio? How will that affect what they buy, what they own, and the entire future of Hollywood? I truly have no idea - that would be unprecedented. But we might be on the brink of finding out. According to a report from Variety, Paramount Skydance—led by David Ellison—is allegedly putting together a staggering $71 billion bid to acquire Warner Bros. Discovery (WBD). And the deal is reportedly backed by a consortium of sovereign wealth funds from the Middle East, particularly Saudi Arabia. While Paramount has already issued a denial, the mere existence of these talks (and the specific details leaking out) signals massive shifts on the horizon for Hollywood.So what does that mean for filmmakers trying to break in and the ones already there? Let's dive in. The $71 Billion Power PlayThe Variety report outlines a massive acquisition strategy where Paramount Skydance would effectively swallow WBD, combining two of the "Big Five" studios under one roof.Again, this is all alleged, but details like this come out to test the waters. In this hypothetical merger, Paramount Skydance would front the majority with $50 billion. The Consortium (Saudi Arabia’s PIF, Qatar’s QIA, and Abu Dhabi’s ADIA) would contribute $7 billion each, totaling $21 billion.In exchange for their investment, these sovereign wealth funds wouldn't just get equity; reports suggest they would receive "perks" including access to specific IP, movie premieres in their regions, and...
Published By: NoFilmSchool - Today