The decision by Netflix to withdraw its $83bn bid for Warner Bros Discovery (WBD) has left employees at CBS News and CNN anxious about their future, as the two top-tier news operations may soon come under the same roof. With Paramount Skydance emerging as the winning bidder, a deal that still requires approval from WBD shareholders and government regulators, staffers fear the merging of the two networks and the potential for significant job cuts.
According to a CNN producer, who was not authorized to comment, a Paramount WBD merger would be a disaster for employees at both companies, and if Bari Weiss, the current editor-in-chief of CBS News, were to take control of CNN, it would mark the end of the global network founded by Ted Turner. Turner, a billionaire media entrepreneur, revolutionized TV news when he founded the 24-hour, all-news channel in 1980.
A second CNN staffer had a more measured reaction, saying that the network's size and revenue made it an attractive target for the Ellisons. Multiple CBS News staffers, who were not authorized to speak to the media, expressed concern and frustration upon hearing the news, with one producer saying, "Fuck, fuck, fuck," and another saying, "Well, fuck."
Concerns About Job Cuts and Programming Changes
A third CBS News staffer said they expected their department to be cut if the network is merged with CNN and duplicative services are eliminated, as is standard for media mergers. Paramount's victory would add not just CNN but also Warner's prestigious HBO network to its portfolio, including hit shows like Succession and Game of Thrones, as well as award-winning documentaries.
Seth Stern, chief of advocacy at the Freedom of the Press Foundation, predicted that David Ellison, the chief executive of Paramount Skydance, would prioritize expanding his corporate empire over protecting the First Amendment rights of CNN's reporters and HBO's filmmakers. "Censorship is bad for business," Stern said. "WBD executives and shareholders should recognize that selling companies that depend on the First Amendment to a censorial White House puppet is not only morally wrong but harmful to their bottom line."
WBD chief executive David Zaslav took a more positive tone, saying in a statement that the merger "will create tremendous value for our shareholders." WBD is scheduled to hold a global town hall for employees, and in a memo to CNN employees, chief executive Mark Thompson urged them to focus on delivering the best possible journalism to their audience.
Regulatory Process and Potential Challenges
The merger will still have to go through a regulatory process led by the antitrust division of the Department of Justice, and there could be legal challenges from state attorneys general. Alvaro Bedoya, a former commissioner of the Federal Trade Commission, expressed concern about the vast portfolio of assets that will be controlled by the Ellison family, saying, "Block this rotten deal."
Donald Trump, a long-time critic of CNN, said in December that the cable network should be part of any sale of WBD, and that the winning bidder should oust the network's leadership. Trump also discussed potential changes at the network with Larry Ellison, the largest shareholder of Paramount Skydance and a friend of the president.
CNN staffers expressed concern after the Guardian reported that Larry Ellison had spoken with a White House official about potential changes that could be made at the network if it fell under his family's ownership. Ellison discussed the possibility of axing some of the CNN hosts that have attracted Trump's ire, including Erin Burnett and Brianna Keilar.
Implications for the Future of News
The potential merger of CBS News and CNN raises questions about the future of news and the impact of corporate ownership on journalistic independence. As the media landscape continues to evolve, it remains to be seen how the merger will affect the quality and diversity of news coverage.
According to David Ellison, the chairman and CEO of Paramount Skydance, the company has had "great conversations" with Trump about the potential acquisition of WBD. However, the merger will still have to navigate a complex regulatory process, and it may be a long time before the fate of CBS News and CNN is decided.
