Skydance completes massive $111 billion merger of Paramount and Warner Bros. Discovery

Skydance has finalized its acquisition of Warner Bros. Discovery and Paramount for $111 billion, consolidating both companies under the Skydance name and leadership. The combined entity now controls major gaming studios including NetherRealm, Rocksteady, Avalanche Software, and TT Games, along with publishing operations Portkey Games. Leadership has signaled that the merger integration will involve significant restructuring, with the company targeting over $6 billion in cost savings through consolidation of technology, marketing, and real estate operations.

The consolidated company brings together substantial gaming assets under unified leadership. Skydance now controls multiple major studios and franchises including the Mortal Kombat and Arkham series, along with the Lego Games portfolio and Hogwarts Legacy developer Avalanche Software. Prior to finalizing this merger, Skydance had already begun restructuring its gaming division by combining its internal interactive and new media operations into a single studio entity.

The integration process is expected to involve considerable organizational changes as leadership pursues efficiency gains. The company has identified approximately $6 billion in potential cost reductions through streamlining duplicative functions across technology infrastructure, marketing departments, and physical office locations—a typical approach when merging entities of this scale and operational complexity.