FCC Approves Skydance-Paramount Deal Amidst Controversy

CBS Faces Changes Following $8.4 Billion Acquisition

The Federal Communications Commission (FCC) has greenlit Skydance’s acquisition of Global Paramount Media Group. This significant shift in the media landscape, valued at $8.4 billion, promises substantial changes within the CBS network.

Concerns Over Political Influence and Program Cancellations

This approval follows a tumultuous period for Paramount. In early July, the company settled a legal dispute with Donald Trump, reportedly agreeing to pay $16 million to end a claim seeking $20 billion in damages. Shortly after, Paramount announced the discontinuation of “The Late Show,” hosted by Stephen Colbert, a vocal critic of the current U.S. president.

The FCC’s decision comes after a year-long review of Skydance’s proposal. Notably, the regulator’s public statement focused less on traditional competition metrics and more on commitments made by Skydance regarding CBS. This has led to accusations that Paramount’s settlement with Donald Trump was a strategic move to secure the FCC’s approval.

“I do not know if it will be possible to restore me to confidence in this company,” remarked the sixty-something humorist Stephen Colbert, criticizing the settlement as a “good big bridge pot.”

FCC Secures Guarantees for CBS’s Future

The FCC secured a promise from Skydance to implement “measures likely to correct the biases which have undermined confidence (of the public) in the national media” within CBS. This commitment addresses frequent criticisms leveled by Donald Trump against CBS, which he has described as “out of control.”

In April, Donald Trump specifically targeted the program “60 Minutes,” alleging defamation and calling for FCC sanctions against the network for what he termed “illegal behavior.” He had previously accused CBS of misleading the public with an interview concerning his Democratic rival, Kamala Harris.

“The Late Show” Axed, Sparking Political Debate

The decision to cancel “The Late Show” after the 2025/26 season was officially attributed to “purely financial reasons.” However, Democratic Senator Elizabeth Warren questioned this justification, stating, “America deserves whether its program has been canceled for political reasons.”

The media industry continues to grapple with the intersection of political pressure and editorial independence. For instance, in 2023, news organizations faced heightened scrutiny, with reports indicating that misinformation spread significantly on social media platforms, impacting public trust in established news sources, as highlighted by a Pew Research Center study.

Paramount Global confirms it will pay Donald Trump $16 million to settle his defamation lawsuit over CBS News’s reporting, the company said today. Trump had sued for $100 million, then $20 billion.

— The Wall Street Journal (@WSJ) July 8, 2025

This landmark deal signals a new era for Paramount and CBS, with the FCC’s involvement underscoring the growing importance of public perception and political sentiment in major media transactions.