Paramount’s Turbulent Week: Behind the Scenes of Their No Good, Very Bad Week

It’s a chaotic time at Paramount. The studio’s new owner, David Ellison, is shaking things up, and not everyone is happy about it.

Ellison stepped in after the merger with Skydance and quickly started making big deals. He spent a staggering $7.7 billion for UFC streaming rights and shelled out $1.5 billion to keep South Park while luring the Duffer Brothers from Netflix. Everyone cheers when money flows freely, but this excitement is fading.

One major move that raised eyebrows was the departure of Taylor Sheridan, a key creator behind Paramount+. His switch to NBCUniversal has sparked debate. People wonder if Ellison made a huge mistake or if he was making a smart financial move by letting someone so influential go. Surprisingly, Paramount didn’t even try to keep him. With NBC’s $1 billion offer, Ellison might have decided the risk of losing clashes with Sheridan wasn’t worth it.

Ellison’s ambitions don’t stop there. He has made several attempts to buy Warner Bros. Discovery, but those bids have been rejected consistently. The latest offer was $23.50 per share, while the stock sits at $22.42. The speculation is that Ellison won’t stop until he gains control of more major studios.

Mergers often lead to layoffs, and this time is no different. Recently, Paramount laid off about 1,000 employees, which is around 5 to 10 percent of its workforce. Another round of cuts is expected. Such measures may please investors, especially as the company prepares for its third-quarter earnings report, but it still results in significant upheaval among employees.

In addition to the layoffs, Paramount is facing controversy in its news division. Ellison appointed Bari Weiss as editor-in-chief of CBS News, which drew mixed reactions. Concerns arose over the direction of CBS News, especially with the departure of eight female on-air hosts and correspondents. Although some departures were framed as voluntary—like anchor John Dickerson’s—it still raises questions about workplace culture.

There’s also talk of Gayle King leaving CBS Mornings, although CBS and King have both denied this. It’s a messy situation, reflecting broader concerns about the workplace environment and diversity.

Ellison is expected to outline his vision for Paramount in the upcoming earnings call on November 10. It seems that clearing the decks—or in naval terms, removing clutter before a battle—is part of his strategy. But the cost of doing so is high, with many employees feeling the impact.

As the media world evolves, companies like Paramount are in a constant struggle to maintain relevance while appeasing investors. The outcome of these moves remains to be seen, but they certainly have created a ripple effect across the industry.

For continuous updates on media trends and corporate strategies, you can visit Reuters or Variety.

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