Paramount Global will undergo a major restructuring of its organization that will involve the combination of some business units and the closure of its co-CEO office, according to a report this week.
The shake-up will follow Paramount’s combination with Skydance Media, Bloomberg said, one that will ultimately lead to the departure of Paramount Pictures and Nickelodeon CEO Brian Robbins, who serves as one of the company’s three co-CEOs.
George Cheeks, another co-CEO who is in charge of CBS Corporation, is expected to say at Paramount, while the future is less certain for Showtime Networks and MTV Entertainment CEO Chris McCarthy.
According to Bloomberg, Skydance Media founder and CEO David Ellison is expected to combine Paramount’s various television networks into a single business, effectively bringing the operational control of CBS, Showtime, MTV and related properties like Nickelodeon, CBS Sports, VH1, BET, TV Land, Pop TV, Channel 5 and Network 10 under a single leader.
Bloomberg said its information came from conversations with people familiar with Skydance and Paramount’s plans. They were not identified by name or title.
Ellison told the news outlet that Paramount’s “business needs to be transitioned” to take account for various factors, including consumer media trends. Ellison has been meeting with people at Paramount to figure out what works and what does not.
The Federal Communications Commission (FCC) must weigh in on the transfer of broadcast licenses held by around two dozen broadcast TV stations owned and operated by CBS. The agency has the power to hold up the transaction by requiring Paramount to sell some or all of its TV stations in order to satisfy antitrust and other regulatory concerns.
But Paramount and Skydance executives believe the outcome of the 2024 presidential election — which saw former President Donald Trump secure a second, non-consecutive term in the White House — will make it easier to win over regulators. Trump has affirmed his intention to nominate current FCC Commissioner Brendan Carr to serve as the chairman of the agency; Carr has floated the idea of easing burdens on broadcasters and other media companies when it comes to effectuating mergers and similar transactions.
With Trump in office, Paramount and Skydance now believe their merger will close in late March or early April, at which point they will put into motion plans to consolidate business units and part ways with executives deemed redundant or otherwise not pertinent to their future evolution and growth strategies.
