Comcast and Paramount reportedly mull US streaming combination

Source: Comcast

Comcast and Paramount Global have been in talks about a possible combination of their flagship streaming platforms in the US, according to the Wall Street Journal.

According to the WSJ, the talks are not at an advanced stage and the pair are also looking at alternative strategic options.

Trade paper Variety, citing its own sources, confirmed the substance of the Journal report, also noting that the talks had not gone very far.

A deal between the pair could see Comcast-owned NBCUniversal’s Peacock combine with Paramount+.

Comcast and Paramount already collaborate internationally. The pair jointly own the SkyShowtime service, which is distributed in European markets where the individual services and Comcast-owned pay TV operator Sky are not available.

The latest reports of talks about streaming consolidation come amid a swirl of speculation about the future of Paramount itself.

Potential suitors for the studio include Top Gun: Maverick producer Skydance, which was last year reported to have held talks about a potential acquisition via a takeover of Shari Redstone’s National Amusements, Paramount’s controlling shareholder.

That was followed by reports of early-stage talks between Warner Bros. Discovery and Paramount about a possible merger of the pair, and a US$30 billion by US media player Byron Allen.

Finally, there has been speculation about a possible tie up between Comcast itself and Paramount. However, on the latter’s Q4 earnings call, CEO Brian Roberts batted away speculation that the company could be preparing for a major consolidation play, saying: “While there may be speculation on what we could do next, I’d like you to hear it directly from me: I love the company we have, so the bar continues to be even higher for us to do anything other than the plan you heard today.”

Paramount meanwhile has begun the process of laying off 800 of its employees amid a cost-cutting drive and refocus on core “Hollywood Hits” at the expense of local, international origingals to drive earnings growth.