More than a thousand movie stars, writers, directors and other Hollywood professionals announced their “unequivocal opposition” to the proposed Paramount merger with Warner Bros Discovery in an open letter published today.
A large swath of the movie industry, including Denis Villeneuve, Kristen Stewart, J.J. Abrams and Joaquin Phoenix came out forcefully against the US$111 billion deal that would consolidate two legacy studios into one, arguing that it would further reduce jobs and movies in an already downsized Hollywood.
“The result will be fewer opportunities for creators, fewer jobs across the production ecosystem, higher costs, and less choice for audiences in the United States and around the world,” reads the letter, posted on BlocktheMerger.com.
“Alarmingly, this merger would reduce the number of major US film studios to just four.”
In late February, David Ellison's Paramount Skydance reached a deal to acquire Warner Bros. Discovery in one of the largest media mergers ever.
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The deal awaits a shareholder vote later this month and government regulatory approval. Paramount's victory came after months of negotiations and a rival bid by Netflix that ultimately fell short.
The deal was only the latest massive merger to rock Hollywood.
Both companies have a presence in New Zealand.
Warner Bros Discovery sold its free-to-air television channels, including Three and streaming platform Three Now, to Sky TV for $1 last year.
It still operates pay-TV channels and a local production arm in the country. The company announced last year it wanted to launch its streaming service HBO Max locally.
In 2019, 20th Century Fox was acquired by The Walt Disney Company for US$71.3 billion.
Ellison, chief executive of Paramount Skydance, has pledged to keep Paramount and Warner Bros as stand-alone movie studio operations, and vowed to release a combined 30 movies a year in theatres.
Paramount has acknowledged the merger will also lead to significant cuts due to duplication.
In response to the open letter, Paramount issued a statement arguing that the merger will give creators “more avenues for their work, not fewer.”
“This transaction uniquely brings together complementary strengths to create a company that can greenlight more projects, back bold ideas, support talent across multiple stages of their careers, and bring stories to audiences at a truly global scale,” the studio said.
But many in the film industry believe a merger will mean extensive job losses and a consolidation of power.
“We are deeply concerned by indications of support for this merger that prioritise the interests of a small group of powerful stakeholders over the broader public good,” read the letter.
“The integrity, independence, and diversity of our industry would be grievously compromised.”
A coalition of advocacy groups organised the letter, including the Committee for the First Amendment — a free speech group led by Jane Fonda — as well as the Democracy Defenders Fund and the Future Film Coalition.
Other signatories include: Ben Stiller, Don Cheadle, Javier Bardem, Lily Gladstone, Lin-Manuel Miranda, Tiffany Haddish and Ted Danson.
One signee, Damon Lindelof, detailed his decision on Instagram.
Lindelof, the creator of Watchmen and the co-creator of Lost, has an overall deal with Warner Bros Discovery.
“Hollywood mergers mean fewer movies and fewer TV shows and that means fewer jobs,” wrote Lindelof. “When two storied backlots are owned by the same company, the outcome is intuitive — one becomes a Ghost Town. I’m scared. But I’m not a ghost. And a fight is already lost if it’s never fought.”
Representatives for Warner Bros didn’t immediately respond to a request for comment on the letter.
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