In a significant development for the media landscape, the Federal Communications Commission has granted its approval for the substantial $8 billion merger between Paramount Global and Skydance Media. This pivotal decision has sent Paramount Global's stock soaring in after-hours trading, reflecting strong investor confidence in the newly combined entity. The merger approval hinges on specific commitments from Skydance, particularly regarding the editorial direction and operational policies of CBS, a key subsidiary of Paramount Global. This move is poised to reshape the future trajectory of both companies and the broader entertainment industry.
Paramount Global-Skydance Merger Receives Green Light from FCC
On a momentous Thursday, July 24, 2025, Paramount Global experienced a notable surge in its share value during after-hours trading, following the Federal Communications Commission's decisive approval of its substantial $8 billion merger with Skydance Media. This long-anticipated regulatory green light paves the way for the two entertainment powerhouses to combine forces, marking a significant consolidation within the media industry.
The FCC's endorsement specifically included the transfer of licenses for 28 local television stations under the ownership of CBS, a cornerstone asset of Paramount. A crucial factor in securing this approval was Skydance's firm commitment to address concerns about impartiality and representation. To this end, Skydance has pledged to institute an ombudsman role, tasked with impartially reviewing any bias complaints directed at CBS. Furthermore, Skydance has committed to re-evaluating and ultimately phasing out certain diversity, equity, and inclusion (DEI) initiatives.
Brendan Carr, a prominent figure at the FCC, articulated the rationale behind this decision, stating, \"American citizens have grown increasingly distrustful of traditional national news outlets to deliver unbiased, precise, and equitable reporting. A shift is clearly necessary. Therefore, I wholeheartedly endorse Skydance's dedication to enacting substantial changes within the historically celebrated CBS broadcast network.\"
This landmark approval arrives more than a year after Skydance initially unveiled its intentions to acquire Paramount Global and its diverse portfolio of subsidiaries. The integration of these entities is expected to create a formidable new player in the global entertainment and media landscape.
Following the news, Paramount Global (NASDAQ: PARA) shares exhibited a robust performance, climbing by 2.41% in after-hours trading, reaching a price of $13.58 at the close of Thursday's trading session.
This merger serves as a potent reminder of the dynamic nature of media ownership and content creation. The FCC's conditions, particularly those addressing editorial bias and the future of DEI programs, highlight a broader societal dialogue regarding media accountability and representation. As the newly formed entity embarks on its journey, all eyes will be on how these commitments translate into tangible changes and whether they will indeed restore public trust in a rapidly evolving information ecosystem. This development underscores the continuous interplay between regulatory bodies, corporate strategy, and public perception in shaping the future of entertainment and news dissemination.
Blackstone, a prominent player in the alternative asset management sector, recently unveiled its second-quarter financial outcomes, which significantly outperformed market forecasts. This impressive performance was primarily propelled by a substantial increase in management fees and a notable expansion in assets under management. The firm's robust growth underscores a period of strong operational success and strategic financial management.
\nDuring the second quarter, the investment management giant achieved distributable earnings per share of $1.21, alongside a remarkable 32.7% surge in revenue, reaching $3.71 billion. Both figures exceeded analysts' projections, indicating a healthier financial standing. A key highlight was the soaring fee-related performance revenues, which escalated by an astounding 167% to $472.1 million. Furthermore, private equity fee-related earnings saw an 87% rise to $519.4 million, while real estate fee-related earnings climbed 13% to $543.6 million. These gains collectively boosted the firm's assets under management to an industry-record $1.21 trillion, a 12.5% increase, demonstrating the widespread expansion of Blackstone's business, particularly in areas like private wealth, credit, insurance, and infrastructure. In a move reflecting confidence in its sustained growth, the company also declared an increase in its quarterly dividend to $1.03, up from $0.93, payable to shareholders in August, pushing its shares into positive territory for the year.
\nBlackstone's success is a testament to its adaptive strategies and diversified investment portfolio, showcasing how a well-managed firm can navigate complex market dynamics to achieve exceptional growth and profitability. The firm's ability to consistently exceed expectations and deliver value to its shareholders through increased dividends reinforces its leadership position in the global financial landscape. This strong performance not only benefits investors but also reflects a broader positive trend within the financial markets, highlighting opportunities for growth and prosperity when innovation and strategic foresight are at the forefront of business operations.
A rare public encounter at the Federal Reserve's Washington, D.C. headquarters on Thursday saw former President Donald Trump and Federal Reserve Chairman Jerome Powell engage in a pointed discussion regarding the ballooning costs of the central bank's building renovations. This unusual visit by a former president underscored the persistent tensions between the two leaders, particularly concerning economic policy and the independence of the Federal Reserve.
\nDuring their joint appearance, which included a tour of the renovation sites, Trump voiced his concerns over the reported $3.1 billion price tag for updating two historic Fed buildings. Powell promptly challenged this figure, explaining that Trump’s calculation seemingly incorporated expenses from a third government building completed years prior, thereby misrepresenting the actual scope and cost of the current renovation projects. Despite this direct clarification, Trump maintained a skeptical stance on the expenditures, although he later adopted a more measured tone, acknowledging the necessity of the ongoing work.
\nBeyond the renovation debate, the underlying friction centered on Trump's repeated calls for lower interest rates. Despite having appointed Powell in 2017, Trump has frequently criticized the Fed chair for not reducing rates more aggressively, arguing that lower rates would significantly benefit the national economy by saving hundreds of billions in interest payments. While the Federal Reserve did implement a substantial rate cut in late 2024, lowering the primary interest rate to a 4.25%-4.5% range, it has since held rates steady, a decision that continues to be a point of contention. This dynamic highlights the persistent divergence in their views on monetary policy and the broader economic direction.
\nThis episode serves as a reminder of the vital balance between political influence and institutional independence. In a healthy democracy, diverse opinions and robust debates are essential for progress. While disagreements between political leaders and independent institutions like the Federal Reserve can be challenging, they also provide opportunities for transparency and accountability. Such exchanges, when conducted with a commitment to facts and the public good, ultimately strengthen the democratic process and foster a more informed citizenry, leading to better outcomes for society as a whole.