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Here are 1-2 brief analogies to describe Paramount Skydance (PSKY) succinctly:

• It's like Legendary Entertainment (known for big movie franchises like Dune and Godzilla) acquiring a broad media conglomerate similar to NBCUniversal (Universal Pictures, NBC networks, Peacock streaming).

• Think of it as a hit-making music production company acquiring a major music conglomerate like Universal Music Group.

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• Filmed Entertainment: Produces and distributes feature films globally for theatrical exhibition and streaming platforms.
• Linear Television Broadcasting: Operates a portfolio of broadcast and cable television networks delivering news, sports, and entertainment programming.
• Streaming Services: Offers direct-to-consumer digital platforms, including subscription video-on-demand (Paramount+) and ad-supported video-on-demand (Pluto TV).
• Television Content Production: Develops and produces original television series and other programming for its own networks and for sale to third parties.

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Please note: The symbol "PSKY" for "Paramount Skydance" does not correspond to a currently trading public company. "Paramount Global" (symbol: PARA) is the existing public company, and Skydance Media is a private company currently in discussions for a potential acquisition of National Amusements, which controls Paramount Global. Therefore, the customer information provided below pertains to the operations of Paramount Global, which would form the core of any future "Paramount Skydance" entity.

Paramount Global primarily sells to other companies, with significant revenue streams derived from advertising, affiliate fees from distributors, and content licensing.

Major corporate customers include:

• Advertisers: A vast array of companies purchase advertising time across Paramount's broadcast networks (CBS), cable channels (MTV, Comedy Central, Nickelodeon, Showtime, etc.), and streaming platforms (Pluto TV, Paramount+ with ads). These include major corporations from consumer goods, automotive, pharmaceutical, technology, and other sectors. Due to the sheer number and dynamic nature, specific individual advertisers are not listed, but they represent a broad spectrum of Fortune 500 and other enterprises.
• Cable, Satellite, and Virtual Multichannel Video Programming Distributors (vMVPDs): These companies pay fees to carry Paramount's linear television channels. Key customers include:
  • Comcast (CMCSA)
  • Charter Communications (CHTR)
  • DISH Network (DISH)
  • Verizon (VZ)
  • AT&T (T) (through various distribution agreements)
  • Alphabet (for YouTube TV) (GOOGL)
  • The Walt Disney Company (for Hulu Live TV) (DIS)
• Theatrical Exhibitors: Movie theater chains that exhibit films from Paramount Pictures. Key customers include:
  • AMC Entertainment Holdings (AMC)
  • Cinemark Holdings (CNK)
  • Regal Cinemas (owned by Cineworld Group PLC, traded on the London Stock Exchange as CINE.L)
• Content Licensing Partners: While Paramount increasingly prioritizes its own platforms, it still licenses content to other streaming services and broadcasters globally. These can include companies like Netflix (NFLX) or Amazon (AMZN) for specific titles or older libraries.

Although Paramount Global primarily sells to other companies, it also serves individual customers directly through its Direct-to-Consumer (DTC) segment and filmed entertainment. The categories of individual customers it serves are:

• Direct-to-Consumer Subscribers: Individuals who subscribe to Paramount+ (including Showtime content) for streaming television and movie content.
• Moviegoers and Home Entertainment Consumers: Individuals who purchase tickets to Paramount Pictures films at movie theaters or buy/rent films on physical media or digital storefronts.
• Viewers of Ad-Supported Content: Individuals who consume content on platforms like Pluto TV and the ad-supported tiers of Paramount+. While these individuals do not directly pay for the content, their viewership data and engagement are the basis for the advertising revenue generated from corporate customers.

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David Ellison
Chairman and CEO

David Ellison founded Skydance Media in 2006, serving as its CEO until 2025. He oversaw the company's expansion into television, animation, and interactive entertainment. Ellison led the merger between Skydance and Paramount Global, becoming the Chairman and CEO of the newly formed Paramount Skydance in August 2025. He is the son of Oracle Corporation co-founder Larry Ellison. His efforts to acquire Warner Bros. Discovery are backed by new equity from the Ellison family and RedBird Capital, indicating involvement with private equity firms.

Andrew Warren
Executive VP & Interim CFO

Andrew Warren continues in his role as interim chief financial officer for Paramount Skydance following the merger. He has discussed the company's financial strategies, including the debt management plans related to potential acquisitions like Warner Bros. Discovery.

Jeff Shell
President

Jeff Shell was named President of Paramount Skydance. Prior to this role, he served as the CEO of NBCUniversal.

Andy Gordon
Chief Strategy Officer and Chief Operating Officer

Andy Gordon serves as the Chief Strategy Officer and Chief Operating Officer for Paramount Skydance. He previously held a position at RedBird Capital, a firm involved in backing David Ellison's acquisition bids. Gordon is instrumental in scaling strategic initiatives, including AI-driven content personalization.

George Cheeks
Chairman of TV Media

George Cheeks holds the position of Chairman of TV Media for Paramount Skydance. Before the merger, he served as the president and CEO of CBS and also as a co-CEO of Paramount.

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The key risks to Paramount Skydance (symbol: PSKY) primarily stem from its recent formation through a major merger and its ongoing aggressive expansion strategies in a highly competitive industry.

1. Risks Associated with the Hostile Takeover Bid for Warner Bros. Discovery (WBD): Paramount Skydance launched a hostile takeover bid for Warner Bros. Discovery (WBD) in December 2025, proposing an all-cash offer for an enterprise value of $108.4 billion. This aggressive move, which directly challenges an existing merger agreement between WBD and Netflix, presents significant financial, regulatory, and integration risks for Paramount Skydance. The company is even considering raising its offer by as much as 10%, indicating substantial financial commitment and competitive pressure. Such a large-scale acquisition, if successful, would require complex integration of vast media assets and could lead to considerable debt or financial strain, alongside potential regulatory scrutiny and market apprehension.
2. Challenges in the Highly Competitive and Evolving Media and Streaming Landscape: Paramount Skydance operates in the "Communication Services" sector, specifically the "Entertainment" industry, which is characterized by the "streaming wars" and intense competition. The precursor company, Paramount Global, was "grappling with executive turnover, declining cable revenues, and mounting losses in streaming" prior to the merger. While the merger aimed to create a "next-generation global media and entertainment company", the fundamental challenges of achieving profitability in direct-to-consumer streaming services, managing high content creation costs, and adapting to rapidly changing consumer habits remain significant threats.
3. Integration Risks Following the Merger: Paramount Skydance Corporation was formed on August 7, 2025, through the merger of Paramount Global, National Amusements, and Skydance Media. The integration of three distinct entities inherently carries risks related to cultural alignment, operational efficiency, and the successful realization of projected synergies. Although the company intends to "leverage strategic investments to capitalize on identified synergies and opportunities to streamline its business", the execution of this complex integration process can be challenging, potentially impacting financial performance and market perception if not managed effectively.

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• Accelerated Decline of Linear Television and Traditional Advertising: Paramount Global's extensive portfolio of linear television networks (e.g., CBS, MTV, Comedy Central, Nickelodeon) faces an intensifying threat from continued cord-cutting and the migration of advertising budgets to digital and streaming platforms. This trend erodes viewership and revenue for its most profitable legacy segment, mirroring the disruption cable companies experienced from digital content platforms like YouTube.
• Intense Competition and Pressure for Profitability in the Global Streaming Market: Paramount+ operates in a highly saturated and competitive direct-to-consumer streaming landscape. Despite subscriber growth, the service has incurred substantial operating losses, and the market is increasingly prioritizing profitability over subscriber acquisition at all costs. This environment puts significant pressure on Paramount+ to achieve sustainable scale and financial viability against larger, more entrenched rivals like Netflix, Disney+, and Amazon Prime Video, akin to the challenges Blockbuster faced against Netflix's emerging model.
• Protracted and Uncertain M&A Process Leading to Strategic Paralysis and Talent Exodus: The ongoing, complex, and highly scrutinized potential acquisition of Paramount Global by Skydance Media, coupled with shareholder dissent and alternative bids, creates significant internal and external uncertainty. This situation diverts management's focus from core business operations, risks talent departure due to instability, and delays critical long-term strategic planning and execution, potentially leaving the company vulnerable and weakened regardless of the deal's outcome.

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Paramount Skydance (NASDAQ: PSKY) operates in several key addressable markets globally and in the U.S., encompassing film and television production, streaming services, linear television, and sports entertainment. The company was formed on August 7, 2025, through the merger of Paramount Global, National Amusements, and Skydance Media.

Addressable Markets for Main Products and Services:

1. Film and Television Production (Paramount Skydance Studios)

• Global Film and Video Production Market: This market was valued at approximately $297 billion in 2024 and is projected to reach around $306.5 billion in 2025. Another estimate places the global film and video market at $308.47 billion in 2024, growing to $328.49 billion in 2025. North America held a 42% market share in this global segment in 2024.
• U.S. Movie Production Market: The U.S. movie market is projected to grow from $23.44 billion in 2024, with forecasts estimating it to reach approximately $34.64 billion by 2033. The U.S. contributes about 39% to the global movie production market's growth between 2024 and 2029.
• U.S. Television Production Market: The market size for television production in the U.S. was $69.0 billion in 2024 and is estimated to be $70.1 billion in 2025.

2. Streaming Services (Paramount Streaming)

• Global Video On Demand (VOD) Market (including SVOD and AVOD): The global VOD market was valued at $113.78 billion in 2024 and is projected to grow to $133.44 billion in 2025. Another estimate places the VOD market size at $126.16 billion in 2025. North America held a 38.57% share of the global VOD market in 2024.
• Global Subscription Video On Demand (SVOD) Market: This market was estimated at $95.50 billion in 2024 and is expected to reach $104.66 billion in 2025. Another source values the global SVOD market at $128.74 billion in 2025. North America accounted for over 44% of the SVOD market in 2024.
• Global Advertising-Based Video On Demand (AVOD) Market: The global AVOD market was estimated at around $49.04 billion in 2024 and is projected to reach approximately $63.00 billion in 2025. Other estimates for the global AVOD market range from $34.08 billion to $40.12 billion in 2024, growing to between $36.76 billion and $54.14 billion in 2025.
• U.S. Advertising-Based Video On Demand (AVOD) Market: This market reached $15.0 billion in 2024 and is valued at $18.52 billion in 2025. The market size was also projected at $12.011 billion in 2024.

3. Linear Television Networks (Paramount Skydance TV Media)

• Global Television Advertising Market: The global television advertising market was approximately $245.60 billion in 2024 and is predicted to increase to $255.79 billion in 2025. However, global spending on linear television advertising specifically dropped to $143.9 billion in 2025, representing 12.4% of total ad expenditure.
• North America Television Advertising Market: This market surpassed $81.05 billion in 2024.

4. Sports Entertainment (Paramount Sports Entertainment)

• Global Sports Media Rights Market: The total value of sports media rights surpassed $60 billion in 2024 and is projected to reach nearly $67 billion by 2026. The market hit $62.6 billion in 2024. While a cyclical dip is expected in 2025, with an estimated value of $56.168 billion, it is projected to rebound. Global spending on sports media rights is expected to exceed $78 billion by 2030.
• U.S. Sports Media Rights Market: Spending on U.S. sports rights reached $30.5 billion in 2025. Total U.S. TV and streaming sports media rights payments are estimated to be $29.25 billion in 2025. The U.S. market accounted for $27.521 billion in global media rights value in 2023. U.S. sports rights media spend is projected to surpass $36 billion by 2030.

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Paramount Skydance (NASDAQ: PSKY) expects several key drivers to fuel its revenue growth over the next two to three years, stemming from its recent merger and ongoing strategic initiatives. The company, formed on August 7, 2025, through the combination of Paramount Global, National Amusements, and Skydance Media, is prioritizing its direct-to-consumer streaming business, content expansion, and international reach.

Here are 3-5 expected drivers of future revenue growth for Paramount Skydance:

1. Growth in Streaming Subscribers and Revenue, Including Price Increases: Paramount+ is a cornerstone of the company's growth strategy, having achieved 79 million global subscribers by Q1 2025, representing an 11% year-over-year increase. Its revenue jumped 16% in the same period, driven by subscriber growth and reduced churn. The Direct-to-Consumer segment, which includes Paramount+ and Pluto TV, has been a primary growth engine, and the company is targeting domestic profitability for Paramount+ in 2025. Additionally, Paramount Skydance announced that subscribers to Paramount+ should anticipate a price hike at the beginning of 2026, which is expected to contribute to streaming revenue growth.
2. Synergies and Expanded Content Production from the Skydance Merger: The merger with Skydance Media, finalized in August 2025, is a significant catalyst for future revenue. This combination is anticipated to bring substantial financial benefits and redefine the company's content strategy. Paramount Skydance plans to boost its original programming pipeline and leverage AI-driven production tools to enhance efficiency and engagement in content creation. The company has also raised its cost savings target from the merger to at least $3 billion.
3. International Expansion and Growth of Ad-Supported Streaming: The company is pursuing a robust global expansion strategy for its streaming services. Paramount+ aims to commission 150 international originals by 2025 and is actively expanding its presence in key markets across Europe, Latin America, and Asia. Furthermore, the global expansion of EyeQ, Paramount's digital video advertising platform, and the introduction of an ad-supported tier for Paramount+ in additional international markets, are expected to significantly accelerate ad-supported revenue.
4. Leveraging Franchises and Increased Investment in High-Value Content: Paramount Skydance intends to focus its resources on its "most powerful, resonant franchises, films and series that perform across platforms globally." The company plans to increase its output of films and TV shows, with an investment exceeding $1.5 billion in programming for 2026. This includes new Paramount+ originals, third-party catalog licensing, and an ambitious plan to release at least 15 movies annually over the next few years. Strategic content acquisitions, such as the UFC broadcast rights and the entire South Park catalog, are also projected to drive higher-than-expected revenue for 2025-2026.

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Share Issuance

• As part of the merger, existing Skydance investors received 317 million newly issued Class B shares, valued at $4.75 billion based on $15 per share, representing their ownership stake in the new entity.
• Paramount Global paid its Class A and Class B stockholders $4.5 billion in cash and shares during the merger process.

Inbound Investments

• The Skydance Investor Group, led by the Ellison Family and RedBird Capital Partners, invested $1.5 billion into Paramount's balance sheet to reduce debt and support future strategic growth as part of the merger.
• Prior to the merger, while private, Skydance Media received a $275 million investment from RedBird Capital Partners and CJ ENM in 2020.
• Skydance Media secured a $400 million investment round led by KKR in 2022, which reportedly valued the company at $4 billion.

Outbound Investments

• In December 2025, Paramount Skydance made a $108.4 billion hostile takeover offer for all of Warner Bros. Discovery.
• The company closed a $7.7 billion deal with TKO Group for 7 years of exclusive UFC media rights, days after the merger completed.
• Paramount Skydance struck a 5-year, $1.5 billion deal with South Park creators Trey Parker and Matt Stone, securing streaming rights for all 26 seasons and 50 new episodes.

Capital Expenditures

• Paramount Global (prior to the merger) allocated over $4 billion to expand Paramount+'s content library and enhance its digital infrastructure, a strategy now central to Paramount Skydance's growth.
• Post-merger, Paramount Skydance plans to leverage strategic investments to capitalize on identified synergies and streamline its business, with a focus on forward-thinking content creation and storytelling.