Cinema United, a trade organization representing movie theater owners, requested on Tuesday that California Attorney General Rob Bonta and Paramount Skydance meet to discuss a settlement in an ongoing antitrust case. The appeal was made through a letter addressed to Bonta and Paramount CEO David Ellison.
The request follows legal challenges surrounding a proposed $110 billion merger between Paramount and Warner Bros. Discovery. Cinema United stated that while studio consolidation affects theaters and consumers, the group is open to "tangible and enforceable guardrails" that would protect the industry.
A spokesperson for Cinema United said the organization has been open to steps that protect theater exhibition and described the settlement call as the next step in ensuring a "thriving industry." The proposal follows public endorsements of the merger by the chief executives of AMC Theatres and Regal Cinemas, the two largest theater chains in the United States.
For the general public, the scale of this transaction is significant, representing a $110 billion consolidation of two major entertainment entities. Moviegoers would notice the effects of this case through potential changes in ticket prices, movie availability, or the variety of films shown at their local theaters. A settlement with enforceable guardrails, as proposed by Cinema United, is intended to prevent a single consolidated studio from exerting undue control over the exhibition market, which the group argues would impact consumer choice.
The case also sets a precedent for how state regulators like the California Attorney General's office manage massive media mergers in an evolving digital and theatrical landscape. A settlement could establish new industry standards for how studios and theaters interact following large-scale acquisitions. Currently, Paramount is also seeking a $1.88 billion bond from state attorneys general related to the merger lawsuit. While Cinema United has issued its appeal, neither Paramount nor the Attorney General’s office had issued a public response at the time of reporting.