The investment

Elon Musk has invested roughly $1 billion (about 22 billion Czech crowns) in Skydance, the media group, according to a report from Semafor that cites people familiar with the matter. The money reportedly arrived at around the same time as equity contributions from other Skydance investors, including board member Laurene Powell Jobs. The report says the cash comes as the company tries to reduce costs and lift its share price. Musk has praised the Ellison family and Skydance in public in the past, which has fueled speculation about closer cooperation between Skydance and Starlink, his low-orbit satellite network. Parkiet adds that David Ellison could use Musk's capital to support cost cuts and technology development.

A company formed this month

Skydance came into being in early October, when Paramount Skydance completed its takeover of Warner Bros. Discovery for about $110 billion. The combined group is run by co-CEOs David Ellison and Ynon Kreiz. Its holdings include the Paramount Pictures and Warner Bros film studios, CBS, CNN, HBO, the Paramount+ and HBO Max streaming services, and networks such as MTV, TBS, Comedy Central and Food Network. Skydance has committed to cutting costs by $6 billion over the next three years. Earlier this month, David Ellison told CNBC that the company is building a team that combines product and technology skills.

Ties between Musk and the Ellisons

Larry Ellison, the Oracle co-founder and father of David Ellison, has been close to Musk for years. TechCrunch reports that Ellison invested $1 billion to help Musk buy Twitter in 2022, and that he also invested in Tesla in 2018. Parkiet reports that Larry Ellison personally guaranteed more than $40 billion of equity financing for Paramount's acquisition of Warner Bros. Musk, who runs Tesla and is its largest shareholder, backed Donald Trump's election campaign and led the government efficiency group DOGE for several months after Trump won. He is also described as the world's richest person.

On Tuesday, 20 October, John Malone, an influential figure in cable television, spoke at the Paley Center. He said Skydance will have to rebuild its channels into streaming services and move away from traditional linear TV. Malone also argued that Larry Ellison's Tesla shares helped fund the creation of Skydance, and he said he had no doubt an announcement would follow soon. He added that he believed a deal was taking shape there.

What is still unconfirmed

Skydance did not immediately respond to TechCrunch's request for comment, and none of the reports cites a company statement on the amount. Bloomberg also carried the figure, attributing it to Semafor. The investment therefore rests on Semafor's sourcing for now. Malone's prediction of an announcement is his own view and has not been matched by any official statement in the articles.