The entertainment giant Paramount will merge with Skydance, closing out a decades long run by the Redstone family in Hollywood and injecting desperately needed cash into a legacy studio that has struggled to adapt to a shifting entertainment landscape.
Skydance was founded in 2010 by David Ellison and it quickly formed a production partnership with Paramount that same year. Ellison, if the deal is approved by U.S. regulators, will become chairman and chief executive officer of what’s being called New Paramount. Paramount, however, has struggled to find its footing for years and its cable business has been hemorrhaging. To capture today’s growing streaming audience, the company launched Paramount+ back in 2021, but losses and debts have continued to grow.
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