 Warner Bros.′ David Zaslav recently remarked in private that it had probably been a business mistake to hang on to CNN, an obviously declining media asset. He hadn’t spun the cable channel out for sentimental reasons, he told someone who relayed the conversation to Semafor. But that “mistake” — in a world where politics, business, and media power mix — wound up paying off, driving up the price of what will be one of the biggest media deals of all time, Zaslav now believes. CNN actually drove up Paramount’s bid for Warner Bros. because of the network’s importance to President Donald Trump — and, by extension, its centrality to David Ellison’s pitch to the president for why the government should favor his bid. News is a funny business. It’s hated by the markets and the public alike, yet it’s the obsession of the powerful. Hollywood’s tech giants have tried to avoid it: Netflix has stayed away (Ted Sarandos told Bloomberg Trump lost interest in Netflix’s bid when it became clear the company wouldn’t buy the cable assets), Amazon hasn’t tried TV news since election night 2024, and Apple is currently trying to keep anyone from noticing that it runs one of the biggest news apps in American media. But in the end, it was an aging cable news network and one very important man’s obsession with it that helped tip the scales in favor of Paramount. Now the question is: What will Trump actually get out of the deal? Also: Robert Allbritton’s plans for The Washington Sun, an AI battle at the AP, and Bloomberg’s travel advisory. |