Paramount's Strategic Expansion

In a bold display of entertainment industry power, Paramount's new leader is making waves across multiple fronts.

While orchestrating potential acquisition maneuvers targeting Warner Bros. Discovery, the media executive is simultaneously deepening connections with political heavyweights in Washington.

Sources reveal an unprecedented sporting event is being planned for mid-2026 at 1600 Pennsylvania Avenue. Following the media conglomerate's multi-billion dollar agreement with a premier mixed martial arts organization, the iconic presidential residence may host an exclusive combat sports showcase.

The proposed spectacle would reportedly feature international diplomats enjoying a formal dinner before witnessing athletes compete in the signature enclosed fighting area. The event appears to have support from both the White House occupant and the combat sports league's chief executive.

If scheduling discussions hold, the unprecedented broadcast would coincide with a significant personal milestone for the current administration - the commander-in-chief's eighth decade celebration.

This unconventional merger of politics, entertainment and sports represents just one facet of Paramount's aggressive expansion strategy under its ambitious new leadership.

In recent months, a new wave of ambition has swept through Hollywood, led by the young and dynamic mogul David Ellison. With bold ambitions to reshape the entertainment landscape, Ellison has made significant moves that signal a desire to challenge industry giants and redefine content creation.

At the heart of his strategy is a provocative vision for the future of media, blending traditional storytelling with cutting-edge technology. Ellison’s approach emphasizes innovation and disruption, aiming to position his ventures at the forefront of the rapidly evolving digital age. His focus isn't just on producing blockbuster films but on establishing a formidable media empire capable of rivaling Netflix, Amazon, and Apple.

Behind the scenes, Ellison has cultivated influential connections, leveraging his family’s substantial wealth and access to political figures, including former President Trump. These relationships have fueled his aggressive expansion plans, which reportedly include a bid for major studio acquisitions. His goal is clear: to ascend into the top tier of Hollywood powerhouses, securing a dominant presence in the industry.

Industry insiders note that Ellison’s recent activities reflect a broader trend of upheaval driven by technological advances, particularly artificial intelligence. Veteran producer Jon Peters highlights this shift, pointing out that the industry is entering its most transformative period yet, with Ellison and others leading the charge into this new frontier.

Ellison’s pursuit of a more influential and culturally impactful media landscape underscores his determination to leave a lasting legacy. As he continues to challenge established players and forge new alliances, the entertainment world watches closely, anticipating a revolution that could redefine how stories are told and consumed in the years to come.

When Skydance assumed control of Paramount, it emphasized its identity as a media and technology enterprise. Ellison frequently highlights his commitment to integrating artificial intelligence into the company's operations, suggesting that he has pioneered innovative methods to analyze consumer preferences through extensive data collection. He often claims that Oracle’s technological expertise will elevate Paramount+ from a secondary streaming service to a leading platform, promising an enhanced user experience—though the origins and specifics of this data-driven approach remain unclear. Industry insiders remain doubtful that such strategies alone will enable Paramount to rival Netflix, which benefits from a highly sophisticated algorithmic ecosystem. Many believe that even mergers among traditional studios like Paramount and Warner Bros. would struggle against Netflix and other dominant streamers, which are deeply entrenched and better established.

Schuyler Moore, a partner at Greenberg Glusker, offers a stark perspective, stating, “Studios are becoming obsolete; they’re like dinosaurs—extinct relics of a bygone era.” He argues that consolidation is their only option, but even that may be futile given their late arrival to the streaming race.

Contrarily, David Ellison envisions Paramount as a landscape of endless opportunity. He advocates for increasing content output rather than reducing it. Evidence of this vision is seen in the aggressive expansion of Paramount’s film slate, which aims to grow from eight releases annually to 15 by 2026, then 17 by 2027, and 18 by 2028. Cindy Holland, renowned for shaping Netflix’s original programming and now overseeing Paramount+’s direct-to-consumer efforts, is allocating substantial funds to acquire higher-quality programming, reinforcing Ellison’s ambition for Paramount’s growth and competitiveness.

Hollywood’s landscape is shifting as new players challenge traditional power structures. The Ellison family’s entry into the industry has sparked both intrigue and apprehension, with the WGA warning that a potential Paramount acquisition of Warner Bros. Discovery could spell disaster for writers, consumers, and competition alike. Despite such concerns, the industry remains captivated by Ellison’s bold approach and significant financial backing, which has injected new energy into a sector still recovering from the decline of peak television.

Industry insiders praise Ellison for his long-term vision and willingness to invest heavily in content and innovation. Since assuming leadership at Paramount, Ellison’s team has adopted a rapid, no-holds-barred strategy reminiscent of Silicon Valley’s “move fast and break things” mentality. This has included notable acquisitions, such as the $150 million purchase of Bari Weiss’ The Free Press, a niche news outlet built on Substack.

The company’s internal culture has also undergone rapid change, with a swift overhaul of top executives. Many departed figures held views that were increasingly out of step with Hollywood’s traditional liberal consensus—ranging from outspoken Israel supporters to political conservatives. These shifts have led to a wave of layoffs, notably on October 29, which disproportionately affected women in high-profile roles across CBS, BET, and MTV, with some reports suggesting the move was influenced by political considerations.

Security concerns have escalated as well, especially surrounding Weiss and her wife, Nellie Bowles, who receive extensive protection due to threats linked to Weiss’s outspoken support for Israel. This heightened security has extended to the entire studio leadership, reflecting the increasingly polarized environment.

Paramount’s stance on geopolitical issues has been unmistakable. The studio publicly condemned a celebrity letter calling for a boycott of Israeli film institutions, and it maintains a blacklist of talent deemed to harbor antisemitic, xenophobic, or homophobic views. While the specifics remain confidential, sources suggest that the company’s leadership shares a core set of values and is committed to distancing itself from hate speech in any form.

Within the company, open debate is now more common, with differing opinions on strategy and leadership styles. Greenstein and Goldberg, brought in from Sony and Skydance respectively, reportedly have contrasting approaches to management—described as “oil and water”—highlighting the evolving dynamics under Ellison’s stewardship.

Not all initiatives have been universally supported. Ellison faced internal resistance when he championed a lucrative deal for Will Smith and Westbrook Media, despite concerns about Smith’s recent controversies and uncertain box office prospects. Such disagreements exemplify the high-stakes, sometimes contentious environment fostered by Ellison’s leadership style, which continues to reshape Hollywood’s competitive landscape.

Paramount’s Strategic Overhaul

Despite facing disagreements over strategic direction, there is a unified sense of urgency among Paramount’s leadership to overhaul the studio swiftly. Recognizing the need for rapid change, the new executives are pushing forward with bold initiatives, including signing high-profile talent deals. Notably, they secured agreements with Smith, Matt and Ross Duffer—the creative minds behind Netflix’s “Stranger Things”—aiming to develop fresh content that resonates globally.

In parallel, Paramount is actively curating a lineup of films designed to rekindle theatrical attendance amidst a struggling box office. A key focus is assembling a slate that can draw audiences back to theaters, with efforts led personally by David Ellison. He has been involved in courting lesser-known filmmakers like James Mangold, and is investing up to $100 million in producing “High Side,” a motocross thriller starring Timothée Chalamet. While insiders suggest the budget may be lower than this figure, no official budget has yet been announced.

Several long-planned projects have been shelved or put into turnaround, including a sports drama titled “Winter Games” starring Miles Teller. Meanwhile, Paramount is exploring ways to breathe new life into established franchises. The studio has shifted away from reviving the original “Star Trek” cast from J.J. Abrams’ reboot and is instead working on new installments that could feature different characters or stories. Additionally, sequels to blockbuster hits like “Top Gun” and “Days of Thunder” are in development, with Tom Cruise himself recently visiting the Paramount lot. During his visit, Cruise congratulated the Skydance team on their acquisition and discussed potential returns to these beloved franchises, hinting at possible collaborations.

Paramount’s strategic focus also includes producing content tailored for specific markets. Some upcoming projects, such as a Western-themed thriller about a cowboy and his dog searching for a missing daughter—often compared to a “Taken” western—are described as “America-centric,” targeting middle American audiences.

However, not all developments have gone smoothly. The departure of Taylor Sheridan, creator of major Paramount+ hits like “Yellowstone” and “Tulsa King,” to NBCUniversal took many by surprise. Ellison had invested significant effort in cultivating Sheridan, even flying to Texas with key executives to discuss expanding the Sheridan-verse with new shows. Yet, Sheridan preferred a less corporate, more independent approach, leading to his exit despite having three years remaining on his Paramount contract. His departure leaves a significant creative gap, especially considering his popularity in red states and the potential fit within Paramount’s evolving vision.

Taylor Sheridan's departure marks a significant blow to Paramount+,

where his projects drove nearly all successful content.

Before exiting, Sheridan will tackle David Ellison’s key mission:

crafting the screenplay for "Call of Duty," a video game adaptation

symbolizing the studio’s push toward patriotic entertainment.

Director Peter Berg, known for praising Trump,

exemplifies talent now welcomed at Paramount under its new ethos.

Ellison projects humility yet has swiftly shifted the studio's culture.

Executive offices once tuned to CNBC or CNN

now sometimes display Fox News,

though renovation disputes cloud this observation.

Elsewhere, gun ranges replace diversity initiatives,

and CBS News’ race and culture unit dissolved post-Floyd.

This cultural pivot aligns with Larry Ellison’s political ties.

The Trump administration fast-tracked Paramount-Skydance’s merger

and approved Larry’s TikTok bid alongside conservative allies.

Now, Ellison advisors privately claim regulatory favor positions them

as the sole viable buyer for Warner Bros. Discovery—

Trump himself endorsed CBS News’ new leadership,

promising "fairer" coverage from his "friends" and "big supporters."

Hollywood speculates about an Ellison-owned CNN and Warner Bros.

Their September trial balloon triggered bidding wars,

with Netflix possibly inflating prices.

Victory would grant access to DC superheroes, Harry Potter rights,

and HBO’s prestige—assets surpassing Paramount’s library.

Yet even premium content can’t fix legacy media’s core flaw:

linear TV still generates 80% of Paramount’s revenue

while audiences flee to streamers.

This pressure fuels mergers among traditional studios,

a survival tactic in streaming’s disruptive wake.

"Media deals usually fail," warns analyst Doug Creutz,

citing Disney’s Fox purchase as a cautionary tale.

David Ellison reportedly seeks to avoid similar excesses.

His father Larry drives strategy with a data-centric vision:

"Control the most data to win," mirroring Oracle’s playbook.

Netflix reportedly feels threatened by Ellison’s capital reserves

amid MAGA-led "cancel Netflix" campaigns over "woke" content.

Wall Street reflected these concerns in October’s stock plunge.

Internally, morale plummets as layoffs continue.

A second wave targets 1,000 globally,

with AI integration stoking fears.

Employees resent "merciless" dismissals of veterans,

contrasting cost-cutting with executives’ lavish deals.

As one CBS staffer fumes:

"Great journalists lost jobs to fund bodyguards and $150M packages—

that’s bullshit."

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