California Attorney General Rob Bonta has addressed the settlement of an antitrust challenge concerning Paramount’s $111 billion acquisition of Warner Bros. Discovery. He emphasized that pressure to retain the company in Hollywood did not influence the timing of the agreement.
Paramount had been considering a relocation from California during the legal conflict. On NPR’s Morning Edition, Bonta stated that this possibility did not impact the timing of the settlement, emphasizing the focus on antitrust concerns.
Bonta previously expressed ambivalence about the merger. He labeled the settlement as the ‘best course of action’ but clarified it was not an endorsement of the merger. He stated, ‘We were making demands, and we were requiring that there be certain conditions and commitments.’
The settlement, pending judicial approval, seeks to resolve a lawsuit by 12 states aiming to block the merger, presenting a significant barrier to the deal. A notable feature of the agreement is the establishment of an editorial board to safeguard the independence of CNN and CBS News.
The state of California will have no input in it. No government entity will have any input into it.
Bonta noted that the board would consist of experienced journalists committed to independence, objectivity, and fairness. Standards for selecting board members were part of the settlement negotiations, designed to maintain board autonomy. An auditor will monitor compliance, with the possibility of legal action if Paramount does not adhere to the agreement.
Critics remain unsatisfied. Connecticut Attorney General William Tong expressed disappointment that the settlement did not mandate the full divestiture of CNN and CBS News. Others question whether the agreement sufficiently addresses media consolidation, job security, and the effectiveness of journalistic safeguards.
The digital story was edited by Suzanne Nuyen, with input from David Folkenflik.