Paramount has struck a $110bn deal to buy Warner Bros Discovery.
The deal was struck after Netflix walked away from a bidding war for the company.
Netflix had declined to match Paramount's latest $31-per-share offer on Thursday - having offered a $27.75-per-share agreement for its studio and streaming assets.
Paramount, which is led by billionaire Larry Ellison's son, David, has deep political connections to Donald Trump's administration.
The takeover means Paramount Skydance will own the news channels CNN and CBS News.
The deal brings together two of Hollywood's five legacy studios, potentially reshaping the US film industry.
It means films such as Harry Potter, Superman and Barbie, as well as hit TV series such as Succession, will join Paramount's content library.
Paramount's titles include Top Gun and The Godfather, as well as the Paramount+ streaming service.
David Ellison, chair and CEO of Paramount, said: "From the very beginning, our pursuit of Warner Bros Discovery has been guided by a clear purpose: to honour the legacy of two iconic companies while accelerating our vision of building a next-generation media and entertainment company.
"By bringing together these world-class studios, our complementary streaming platforms, and the extraordinary talent behind them, we will create even greater value for audiences, partners and shareholders - and we couldn't be more excited for what's ahead."
Regulators in California are preparing a vigorous review of the deal.
Both Democrat and Republican politicians in the US have raised concerns any deal to acquire Warner Bros could result in higher prices and fewer choices for customers.
(c) Sky News 2026: Paramount strikes deal to buy Warner Bros Discovery for $110bn
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