Gavin Newsom backs settlement talks over Paramount and Warner Bros merger antitrust lawsuit

At a press appearance in San Francisco on Friday, California Governor Gavin Newsom expressed support for settlement discussions in the antitrust lawsuit seeking to block the merger between Paramount and Warner Bros. A coalition of 12 states is challenging the transaction in court. Newsom pointed to statements made earlier in the week by California Attorney General Rob Bonta, who indicated a preference for resolving the dispute out of court.

Look, I was appreciative, I think this week, earlier this week, you heard the attorney general himself say he'd prefer this settled in the boardroom, not the courtroom.

Newsom stated that multiple meetings are underway to explore a resolution among the parties, noting that Bonta must balance the interests of California with those of the other states in the legal coalition.

That's a process that's unfolding, I assure you, in real time.

The governor's public statements follow a July 31 report by The Wall Street Journal indicating that Newsom was concerned about potential job losses in California and had encouraged Bonta to reach an out-of-court solution. Paramount Skydance CEO David Ellison previously warned that the company could move one or two studio facilities out of California if the antitrust lawsuit is not resolved by October. Newsom confirmed he takes Ellison's warning seriously and is holding discussions with representatives across all sides of the issue. His support for negotiations aligns with the stance of Xavier Becerra, the Democratic candidate running for California governor.