Focus on the BIG picture.
Wednesday, Aug 20, 2025
Outside the box.
Shari Redstone Confirms $16 Million Trump Settlement Preceding Paramount–Skydance Merger
Settlement of Trump lawsuit over CBS interview cleared regulatory path for $8 billion merger between Paramount and Skydance
Shari Redstone, chair of Paramount Global, confirmed that the company paid a $16 million settlement to U.S. President Donald Trump in July 2025, resolving a lawsuit over the editing of a '60 Minutes' interview with then–Vice President Kamala Harris.
Trump had originally sought $20 billion in damages, alleging that the broadcast influenced the 2024 presidential election.
The settlement covered legal expenses and contributions to Trump’s future presidential library or charitable projects, without requiring Paramount or CBS to admit wrongdoing or issue an apology.
The resolution of the case cleared the way for U.S. regulators to approve Paramount Global’s $8 billion merger with Skydance Media.
Redstone, who controlled more than three-quarters of Paramount’s Class A voting shares, exited following the creation of the combined company, now led by Skydance chief executive David Ellison.
The Federal Communications Commission reviewed the merger as part of its oversight process.
Redstone said she considered the agreement a pragmatic step, citing the risks of litigation and comparisons to a separate 2024 settlement in which ABC News and parent company Disney paid $15 million to Trump in connection with another defamation dispute.
Legal teams for both Paramount and Skydance had urged settlement, warning that failure to resolve the matter could jeopardize the transaction.
The merger, finalized on August 7, 2025, established the new entity “Paramount, a Skydance Corporation,” with headquarters in Los Angeles and technical operations in New York and New Jersey.
Following the deal, reports indicated that additional financial commitments may be allocated by new ownership toward advertising and public service announcements.
Paramount and Skydance have not publicly commented on those reports.
In parallel with the settlement, an FCC probe into CBS editorial practices continues.
Lawmakers have separately requested information regarding potential political influence on the merger review.
Shareholder lawsuits, including one filed by GAMCO Investors, have also challenged the terms of the transaction, alleging that Redstone’s family interests benefited disproportionately compared with public investors.
Trump had originally sought $20 billion in damages, alleging that the broadcast influenced the 2024 presidential election.
The settlement covered legal expenses and contributions to Trump’s future presidential library or charitable projects, without requiring Paramount or CBS to admit wrongdoing or issue an apology.
The resolution of the case cleared the way for U.S. regulators to approve Paramount Global’s $8 billion merger with Skydance Media.
Redstone, who controlled more than three-quarters of Paramount’s Class A voting shares, exited following the creation of the combined company, now led by Skydance chief executive David Ellison.
The Federal Communications Commission reviewed the merger as part of its oversight process.
Redstone said she considered the agreement a pragmatic step, citing the risks of litigation and comparisons to a separate 2024 settlement in which ABC News and parent company Disney paid $15 million to Trump in connection with another defamation dispute.
Legal teams for both Paramount and Skydance had urged settlement, warning that failure to resolve the matter could jeopardize the transaction.
The merger, finalized on August 7, 2025, established the new entity “Paramount, a Skydance Corporation,” with headquarters in Los Angeles and technical operations in New York and New Jersey.
Following the deal, reports indicated that additional financial commitments may be allocated by new ownership toward advertising and public service announcements.
Paramount and Skydance have not publicly commented on those reports.
In parallel with the settlement, an FCC probe into CBS editorial practices continues.
Lawmakers have separately requested information regarding potential political influence on the merger review.
Shareholder lawsuits, including one filed by GAMCO Investors, have also challenged the terms of the transaction, alleging that Redstone’s family interests benefited disproportionately compared with public investors.
