WASHINGTON—After months of delays and controversy, the Federal Communications Commission has finally issued an Order approving the $8 billion Skydance merger with Paramount Global.
The approval came nearly a year after the merger was finalized in 2024 and more than 18 months after the company put itself up for sale. The FCC voted two to one along party lines to approve the deal, with Commissioner Anna Gomez dissenting.
In a statement, Republican FCC Chair Brendan Carr reiterated points he had made earlier in the day during the agency’s July Open Meeting applauding Skydance’s commitments made on July 22 to end DEI initiatives, invest in localism and put in place controls to ensure that it offered “unbiased” news.
As part of those controls, Skydance made “written commitments to ensuring that the new company’s array of news and entertainment programming will embody a diversity of viewpoints across the political and ideological spectrum and that CBS’s reporting will be fair, unbiased, and fact-based,” the FCC said.
In a statement, Carr used the occasion to reiterate attacks alleging political bias at the news divisions of major broadcast networks.
“Americans no longer trust the legacy national news media to report fully, accurately, and fairly,” he said. “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.”
Carr did not address Paramount’s decision to pay $16 million to settle a lawsuit President Donald Trump brought against the company relating to how CBS News handled of an interview by then vice president Kamala Harris.
The FCC also noted that “Skydance, which has no DEI programs in place today, has committed that it will not establish any such initiatives at the new company and confirms that New Paramount will also be committed to equal opportunity employment and nondiscrimination. This will ensure that the combined business will enact policies and practices consistent with the law and the public interest.”
In approving the transaction, the FCC also stressed that the deal “will unleash the investment of $1.5 billion into Paramount, bolstering all aspects of its operations, including broadcast. Skydance also reaffirms its commitment to localism as a core component of the public interest standard, and emphasizes that it will work closely with its affiliated broadcast stations to ensure a productive partnership that will strengthen its affiliates’ ability to serve their local communities.”
CBS affiliate had urged the FCC to impose conditions on the merged company to prevent it abusing its power over stations in terms of fees and retransmission consent negotiations but the Order did not impose such conditions.
In a lengthy statement, Commissioner Gomez said she "cannot support this order approving this transaction in light of the payout and other troubling concessions Paramount made to settle a baseless lawsuit. After months of cowardly capitulation to this Administration, Paramount finally got what it wanted. 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...It is a dark chapter in a long and growing record of abuse that threatens press freedom in this country."
The full order can be found here.
