A judge has ordered a temporary pause to the controversial Paramount-Warner Bros. merger.
As reported by Variety, Judge Araceli Martinez-Olguin called for the merger to come to a stop after a state coalition argued the move would violate federal antitrust law. The fear is that it could lead to higher prices and fewer movies and TV shows.
Paramount had reportedly expected to close the deal by Wednesday, July 22. The temporary restraining order will keep the deal from being finalized for another 14 days, but could be extended for as much as 28 days.
A total of 12 states seek to block the Paramount-Warner Bros. merger. Paramount attorney Jeffrey Kessler has argued the states have failed to provide enough evidence to suggest the merger is anticompetitive.
"Plaintiff States' showing at least demonstrates that serious questions going to the merits remain, weighing in favor of preliminary injunctive relief," Martinez-Olguin said. "Paramount and Warner Bros. will continue to operate as separate, viable companies competing in the marketplace while they wait for the Court to adjudicate this case. The balance of equities, combined with the public’s vital interest in antitrust enforcement, therefore tips sharply in favor of the requested injunctive relief."
Developing…
Photo by Justin Sullivan/Getty Images.
Michael Cripe is a freelance writer with IGN. He's best known for his work at sites like The Pitch, The Escapist, and OnlySP. Be sure to give him a follow on Bluesky (@mikecripe.bsky.social) and Twitter (@MikeCripe).
