Administration of Trump greenlights sale of CBS parent company Paramount following compromises
The Federal Communications Commission (FCC) has approved the $8 billion sale of media giant Paramount to Skydance Media, in a decision that has sparked controversy and raised concerns over media independence. The sale, which includes brands such as CBS and Nickelodeon, was initially agreed upon in July 2024 but faced delays due to regulatory scrutiny.
The approval came after a prolonged review period and a politically charged climate following former President Trump's presidency. The FCC, led by Chairman Brendan Carr, a Trump appointee, imposed specific conditions to address concerns over journalistic impartiality.
Skydance's CEO, David Ellison, has promised to eliminate all US-based diversity, equity, and inclusion (DEI) programs at Paramount. In a bid to ensure future programming presents a diversity of political and ideological viewpoints, Skydance will create a new ombudsman to field complaints of ideological bias in news coverage.
The approval was issued in a 2-1 partisan vote, with FCC Democrat Commissioner Anna M. Gomez dissenting strongly. Gomez accused the FCC and Paramount of "cowardly capitulation" to the Trump administration, warning that this move erodes press freedom and imposes unprecedented controls over newsroom decisions.
A significant factor in easing opposition was Paramount’s controversial $16 million settlement of a lawsuit filed by Trump as a private individual against CBS and 60 Minutes. The lawsuit related to CBS's editing of a "60 Minutes" interview with Kamala Harris, which Trump claimed was unfair. Critics argue this payment effectively amounted to paying for regulatory approval and editorial concessions under political pressure.
The executive director of 60 Minutes and the president of CBS News and Stations both resigned, opposing the settlement. The sale of Paramount, which also owns Paramount Pictures and Comedy Central, is valued at $8 billion.
The sale has also seen Trey Parker and Matt Stone, the creators of South Park, strike a $1.5 billion, five-year streaming rights deal with Paramount Global. Meanwhile, social media giants X and Meta have paid Trump's foundation $10 million and $25 million to settle suits over their decision to kick him off their platforms.
The FCC's approval of the sale marks a shift away from prior diversity, equity, and inclusion efforts, with FCC Chairman Carr referring to these as "invidious forms" of diversity. Carr has criticized "legacy national news media" for perceived bias and signaled a move towards more politically balanced news coverage.
The decision has sparked debate, with critics seeing it as a dangerous precedent for government influence over news media content and editorial independence. The sale of Paramount to Skydance is expected to be finalized in the coming months.
- The sale of media giant Paramount to Skydance Media, valued at $8 billion, has been approved by the Federal Communications Commission (FCC), despite controversy and concerns over media independence.
- The FCC's approval came after a prolonged review period, in a 2-1 partisan vote, with Democrat Commissioner Anna M. Gomez dissenting strongly, accusing the FCC and Paramount of "cowardly capitulation" to the Trump administration.
- Skydance's CEO, David Ellison, has promised to eliminate all US-based diversity, equity, and inclusion (DEI) programs at Paramount, and will create a new ombudsman to field complaints of ideological bias in news coverage.
- A significant factor in easing opposition was Paramount’s controversial $16 million settlement of a lawsuit filed by Trump as a private individual against CBS and 60 Minutes, which critics argue effectively amounted to paying for regulatory approval and editorial concessions under political pressure.
- The sale has also seen Trey Parker and Matt Stone, the creators of South Park, strike a $1.5 billion, five-year streaming rights deal with Paramount Global, while social media giants X and Meta have paid Trump's foundation $10 million and $25 million to settle suits over their decision to kick him off their platforms.
- The FCC's decision marks a shift away from prior diversity, equity, and inclusion efforts, with FCC Chairman Carr referring to these as "invidious forms" of diversity, and signaling a move towards more politically balanced news coverage. This has sparked debate, with critics seeing it as a dangerous precedent for government influence over news media content and editorial independence.
