According to Deadline, Paramount Skydance is starting to pursue a possible merger with Warner Bros. Discovery. This comes shortly after Skydance acquired Paramount this summer. This merger will be a big change in the entertainment and Hollywood industry.

Deadline continues to discuss that the co-founder and chairman of Oracle, Larry Ellison, one of the richest men in the world, secured the $84 billion deal through his son, David Ellison, who was the current CEO of  Skydance Media. Through this merger, David gained total control of Paramount Global, which includes Paramount Pictures, Paramount+, CBS, and subsidiary networks under that umbrella. Since then, there has been speculation among Hollywood insiders that Warner Bros. was next to be acquired. It was told to Deadline by an insider of Paramount that, “Ellison has been looking at Warner Bros for a while, nothing new there, he’s just taking a closer look, assessing the pros and cons.”

Deadline also mentioned that The Wall Street Journal reported that Paramount had an offer to Warner Bros. Discovery that boosted the sales of their stock, and the shares were up more than 30% at the end of the trading day. The WSJ said the bid isn’t likely to go through but will be backed by the Ellison family.

According to Deadline, David Zaslav, the CEO of Warner Bros. Discovery, announced that the separation of Warner Bros. and Discovery Global is scheduled to occur next year. The FCC would most likely not clear the acquisition of Warner Bros. Discovery and Paramount Global. Traditionally, this type of acquisition is flagged by the US Justice Department, as antitrust laws are set so that a horizontal merger like this one would eliminate competition in the free market. Both legacy studios would essentially be too massive under single ownership. Even though President Donald Trump has praised the Ellison family, he has animosity with CNN, which is under WBD’s ownership.