Ellison Wants to Turn CNN Into Fox Competitor

Paramount chief David Ellison has quietly assured Trump officials that if the federal government blesses the company’s bid to buy Warner Bros. Discovery, he will move swiftly to remake CNN, the president’s longtime media nemesis, according to reports.

The behind-the-scenes maneuvering comes as a bruising bidding war erupts over WBD, owner of CNN, HBO, Discovery and a sprawling portfolio of cable networks.

Netflix announced last Friday that it had struck a $72 billion deal to acquire Warner Bros. studios and HBO properties. Paramount immediately fired back with a hostile counterbid, taking its appeal straight to shareholders.

The Netflix-WBD merger now faces a serious challenge from Paramount, whose majority shareholder is billionaire Trump ally and Oracle founder Larry Ellison.

On Monday, Paramount upped the stakes, offering $77.9 billion in all cash and urging Warner shareholders to walk away from Netflix’s proposal.

During a recent trip to Washington, Ellison’s son David told members of Trump’s team that he would impose sweeping changes at CNN if he gained control of its parent company, sources told The Wall Street Journal.

Larry Ellison also weighed in personally. He discussed the possible firing of CNN hosts including Erin Burnett and Brianna Keilar, figures Trump openly dislikes, during talks with White House officials last month, The Guardian reported.

Trump has privately told people close to him that he wants new ownership at CNN and major changes to its programming.

CNN has long been a favorite target of Trump’s “fake news” label. He frequently singles out the network, its anchors, and its coverage as relentlessly hostile to his agenda.

Adding fuel to the intrigue, the younger Ellison was seen Sunday night sitting with Trump in the presidential box at the Kennedy Center Honors, just two days after Netflix’s deal was announced and as Paramount finalized its counteroffer.

As Netflix’s bid gained momentum, David Ellison enlisted his father to lobby the White House directly, the Daily Mail reported.

Larry Ellison called the president after the Netflix announcement and warned that the merger would hurt competition, according to a White House official and a person familiar with the matter.

Warner Bros. Discovery is one of the largest media conglomerates in the world, controlling HBO, Discovery, TNT, CNN, and numerous other networks.

Netflix’s offer would carve out Warner Bros. studios and HBO Max, while CNN and Warner’s cable networks would be spun off into a separate company under the proposed structure.

David Ellison has argued that Paramount’s offer is more likely to survive regulatory scrutiny and would deliver shareholders $18 billion more in cash than Netflix’s proposal.

The alleged secret meetings and phone calls with Trump’s team underscore how intensely political the WBD battle has become.

So far, Trump has declined to publicly endorse either side. He has told aides he wants to stay informed about any potential antitrust investigations tied to the deal.

“None of them are particularly great friends of mine,” Trump said at a White House roundtable on Monday.

The Justice Department’s antitrust division will ultimately review and approve any merger.

Reporting over the past 24 hours suggests both Netflix co-CEO Ted Sarandos and Ellison have been actively courting Trump and his inner circle to bolster their competing bids.

The WSJ Politics newsletter opened Tuesday by asserting that both companies are “right” to be “acting like the fate of any multibillion-dollar deal is going to run through the Oval Office.”

Politico reported Monday night that Sarandos visited the White House last Tuesday, just days before Netflix’s blockbuster announcement. A Netflix spokesman said Sarandos did not meet with Trump during the visit.

If approved, Netflix’s acquisition of Warner Bros. studios and HBO Max could dramatically reshape the entertainment landscape. The deal would make Netflix even more dominant in streaming while pushing CNN and other cable channels into a separate entity.

Some CNN staffers have privately expressed support for that outcome, according to the Financial Times.

Paramount, by contrast, has been moving in a sharply different editorial direction. The company recently tapped Bari Weiss as the new head of CBS News, a move widely seen as part of a broader shift away from progressive orthodoxy.

The Netflix deal has drawn fire across the political spectrum. Critics argue it would consolidate too much power, weaken competition and squeeze consumers.

Sen. Elizabeth Warren, D-Mass., blasted the proposal as an “anti-monopoly nightmare,” warning it would hand the combined company nearly half of the streaming market and lead to “higher subscription prices and fewer choices.”

Rep. Pramila Jayapal, D-Wash., echoed those concerns, predicting “more price hikes, ads, and cookie-cutter content, less creative control for artists, and lower pay for workers.”

Republicans are skeptical as well.

Rep. Mike Lee, R-Utah, said the deal “should send alarm to antitrust enforcers around the world,” while Rep. Darrell Issa, R-Calif., warned it could reduce consumer choice.

Hollywood labor groups are also drawing a hard line. The Writers Guild of America issued a statement declaring, “This merger must be blocked. The world’s largest streaming company swallowing one of its biggest competitors is what antitrust laws were designed to prevent.”

As Netflix and Paramount battle for control of a media empire, the final verdict may hinge less on Wall Street than on Washington, where Trump’s administration holds the regulatory keys.