David Ellison, head of Skydance and son of Oracle billionaire Larry Ellison, leads a push to buy Warner Bros. Discovery. His company's rocky history at the box office shows in its films. Only five of Skydance's features so far made over $200 million in the U.S. Three starred Tom Cruise. This bid could change that. important Skydance just revised its offer. It's the 10th try. Warner Bros. Discovery agreed to sell key parts to Netflix. But now the board reviews this new proposal.
Key Takeaways
- Skydance's movies struggle at U.S. theaters. Just five topped $200 million domestically.
- important Skydance raised its bid to at least $31 per share for all of Warner Bros. Discovery.
- Netflix wants only studios and streaming for $27.75 per share. Its deal stays in place for now.
- The fight benefits shareholders. Bids could climb by billions.
Background
Skydance started small. David Ellison founded it in 2010. Early on, it made action films. Tom Cruise led several. Mission: Impossible – Fallout did well. It pulled in over $200 million here. But most others fell short. Take Top Gun: Maverick. That one soared. Still, the track record stays thin. Just five hits in total. That's out of many releases.
Warner Bros. Discovery faces its own troubles. Debt piles up. Cable TV fades. Streaming wars rage. Netflix leads there. Disney fights hard. Amazon jumps in. Warner needs a partner. Or a buyer. David Zaslav runs Warner. He turned down early Skydance offers. Started at $19 per share. Then $30. Now higher.
And the Ellison family grows big in media. Larry Ellison backs his son. Oracle bought TikTok's U.S. part last year. With partners. Now this. Skydance merged with important last year. That deal closed. Added CBS and more. Now eyes Warner's full kit. Studios. HBO. DC Comics. Cable nets like TNT.
But politics mix in. President Trump stays neutral. He knows both sides. Once helped Larry on TikTok. Netflix has Susan Rice on its board. Trump wants her out. She criticized him. Netflix says no politics here. Senators watch too. Adam Schiff and Laura Friedman ask for job promises. In L.A. Film and TV jobs matter.
Key Details
important Skydance sent the 10th bid Tuesday. Warner Bros. got a seven-day window. Board talks with advisors. No price out yet. But last week, a rep said at least $31 per share. Prior was $30. That's for the whole company. $108 billion or so.
Netflix deal? $27.75 per share. Just studios and streaming. HBO Max. Warner Bros. films. No cable. Total value $82 billion with debt. Warner pays Netflix a $2.8 billion breakup fee if it switches. Skydance says it covers that.
Bidding Timeline
It started last fall. September 2025. Ellison met Zaslav at his home. Pitched $19 mix of cash and stock. Board said no. Then December. Full cash $30. Rejected. Sweetened offers followed. Fixed issues. Like backing from Larry Ellison. Higher fees. Still no.
Warner picked Netflix. Shareholders vote March 20. But bids can keep coming. If important tops Netflix, Netflix gets four days to match. A dealmaker like Kevin Mayer from Disney sees prices rise. Maybe $5 to $10 billion more.
David Ellison wrote an open letter February 5. To UK creators. Promised more spending. Keep HBO separate. Theatrical films stay. He calls his plan better for competition. Netflix says its deal creates jobs. Protects them.
"I'm incredibly grateful for the relationship that I have with the President, and I also believe he believes in competition." – David Ellison
Skydance films? Let's list them. Those five big ones. Cruise in Fallout. Rogue Nation. Top Gun sequel. Others? Smaller wins. But many bombed. Under $200 million U.S. gross. That's the pattern. Warner has hits. Batman. Harry Potter past. But lately? Mixed. Debt hurts.
Investors back Skydance. Ellison family. Redbird Capital. Middle East funds. Banks for debt. Netflix? Cash rich. But wants less of Warner.
What This Means
Shareholders win in a war. Higher prices. Warner stock jumps on news. Full buyout keeps cable alive. TNT. HGTV. Maybe worth little now. But bundled. Netflix deal spins them off. Tough sell.
For Ellison? Fixes his record. Warner's library huge. DC boosts films. HBO prestige. Skydance gets scale. Fights Netflix head on. important merger helps. But box office woes linger. Cruise carries much.
Industry shifts. Fewer players. Big ones grow. Jobs? Politicians worry. L.A. base. Antitrust next. Regulators check power. Trump neutral. But his words matter.
Media power concentrates. Ellison family spans film, TV, TikTok. Oracle tech ties in. AI? Streaming? Future bets.
Changes coming. Vote in March. Or sooner if bids fly.
Frequently Asked Questions
Q: Why does Skydance want Warner Bros.?
A: To grow bigger. Fight streaming giants. Fix Skydance's weak box office. Warner adds studios, HBO, DC.
Q: What's the difference between the bids?
A: Skydance wants all of Warner. At $31 or more per share. Netflix takes studios and streaming only. At $27.75.
Q: Will this deal happen?
A: Shareholders vote March 20. Bids continue. Regulators review. Trump watches.
Frequently Asked Questions
Why does Skydance want Warner Bros.?
To grow bigger. Fight streaming giants. Fix Skydance’s weak box office. Warner adds studios, HBO, DC.
What’s the difference between the bids?
Skydance wants all of Warner. At $31 or more per share. Netflix takes studios and streaming only. At $27.75.
Will this deal happen?
Shareholders vote March 20. Bids continue. Regulators review. Trump watches.
