The proposed merger would consolidate streaming services, with Paramount Skydance planning to combine Paramount+ and HBO Max into a single platform. HBO Max held about 12% of U.S. on-demand subscriptions in the first quarter, compared to 3% for Paramount+, according to JustWatch. Combined, they would trail Prime Video's 17% and Netflix's 19% market share, while Disney leads with 27% between Hulu and Disney+. Paramount would also acquire Warner's Discovery+ streamer.
Critics have expressed skepticism about consumer benefits, warning of higher prices and fewer platform choices. Paramount CEO David Ellison said at a press conference, "Our view point is, HBO should stay HBO," suggesting some production independence. He added, "They built a phenomenal brand... we just want them to continue doing more of it. But by bringing the platforms together, all of our content will be able to reach even a broader audience." Unknowns include the combined service's name, regulatory approval, and the merger's impact on pricing.
Our view point is, HBO should stay HBO.
They built a phenomenal brand, they are a leader in this space and we just want them to continue doing more of it. But by bringing the platforms together, all of our content will be able to reach even a broader audience than we can do standalone.