Skydance CEO: Tech Giants Drove Media's Past Mistakes

Skydance CEO David Ellison stated that the merger of Paramount and Warner Bros. Discovery addresses media companies that failed to adapt quickly enough to the big tech industry's entry into their space a decade ago. He criticized Hollywood's culture for putting businesses in this vulnerable position.

Ellison believes the merged entity, now unified under Skydance, will be a top player in direct-to-consumer streaming. The company boasts an extensive portfolio of intellectual property, sports, and news assets, complemented by a product and tech organization designed to compete with Silicon Valley firms.

This strategic move is expected to significantly accelerate streaming growth, allowing the combined studios and streaming businesses to outpace the decline of linear television. Skydance is also consolidating ad sales and backend tech stacks across its platforms.

The merger officially closed on Tuesday.