The FCC has approved the transfer of Paramount Global’s broadcast licenses to Skydance Media, clearing the way for the $8 billion acquisition of Paramount by Skydance.
Plans for the acquisition were shared in June 2024, but those plans quickly fell apart. The companies picked up the discussion again and in July 2024, the boards of both companies approved the sale. But the deal continued facing roadblocks, including a $16 million lawsuit with President Trump over a 60 Minutes interview with Kamala Harris ahead of the 2024 election. At that time, Paramount was quick to clarify that the settlement is “completely separate from and unrelated to the Skydance transaction and the FCC approval process,” according to NBC News.
FCC Chairman Brendan Carr made the following statement when the approval was announced on July 24:
“Americans no longer trust the legacy national news media to report fully, accurately, and fairly. It is time for a change. That is why I welcome Skydance’s commitment to make significant changes at the once storied CBS broadcast network. In particular, Skydance has made written commitments to ensure that the new company’s programming embodies a diversity of viewpoints from across the political and ideological spectrum. Skydance will also adopt measures that can root out the bias that has undermined trust in the national news media. These commitments, if implemented, would enable CBS to operate in the public interest and focus on fair, unbiased, and fact-based coverage. Doing so would begin the process of earning back Americans’ trust. Today’s decision also marks another step forward in the FCC’s efforts to eliminate invidious forms of DEI discrimination. And Skydance’s commitment to enhancing local news and reporting—coverage valued by the public—will also inure to the benefit of the American people.”
With the deal, the FCC says that Skydance has made a commitment to “unbiased journalism” by airing news and entertainment programming across the political spectrum. To help ensure fair reporting, Skydance has agreed to have an impartial employee, who will report to the President of “New Paramount,” in charge of evaluating complaints of bias.
The FCC says that the acquisition will bring an end to Paramount’s DEI policies, though “confirms that New Paramount will also be committed to equal opportunity employment and nondiscrimination.”
Not everyone is on board with the merger. FCC Commissioner Anna M. Gomez issued a statement saying that the “Administration is not done with its assault on the First Amendment.”
“After months of cowardly capitulation to this Administration, Paramount finally got what it wanted, Gomez said. “Unfortunately, it is the American public who will ultimately pay the price for its actions. In an unprecedented move, this once-independent FCC used its vast power to pressure Paramount to broker a private legal settlement and further erode press freedom,” Gomez continued. “Once again, this agency is undermining legitimate efforts to combat discrimination and expand opportunity by overstepping its authority and intervening in employment matters reserved for other government entities with proper jurisdiction on these issues. Even more alarming, it is now imposing never-before-seen controls over newsroom decisions and editorial judgment, in direct violation of the First Amendment and the law.”