Paramount+ and HBO Max will combine, David Ellison says

The planned merger between Paramount and Warner Bros. Discovery will see the merger of the companies’ streaming apps, Paramount CEO David Ellison said on a conference call Monday.

“We will combine the streaming portfolios of the two companies into one stronger platform over the coming years,” Ellison said. “Across the two platforms there are over 200 million DTC [direct-to-consumer] subscribers today in more than 100 countries and territories worldwide, positioning us to compete effectively with the leading streaming services in today’s marketplace.”

It’s still unclear if HBO Max — which was formerly known as just Max (and HBO Go before that) — will retain its name or get some extra words or symbols tacked on. Subscription costs for the combined streamer were also not discussed. HBO Max’s standard ad-free plan currently costs $18.49 per month, while Paramount’s ad-free tier is $13.99 per month.

Ellison implied that HBO would be given freedom to operate independently following the merger.

“Our viewpoint is HBO should stay HBO. And they built a phenomenal brand. They are a leader in this space. And we just want them to continue doing more of it,” Ellison said later in the call.

Paramount reaffirmed its expectations to achieve more than $6 billion in “synergies” from the deal, with COO Andy Gordon stating that an unspecified majority of those synergies would come from “nonlabor sources.”

Netflix declined to increase its WBD bid last week, clearing the way for Paramount and receiving a $2.8 billion termination fee from the maneuver. In an interview with Bloomberg over the weekend, Netflix co-CEO Ted Sarandos rejected rumors that the decision to back out had to do with either his meeting with President Trump last week or a plan to force Paramount to overpay and walk away with the termination payment.

“There are easier ways to make $2.8 billion,” Sarandos said.

On prediction markets, Paramount’s odds to end up in control of Warner Bros.’ assets now stand at 83% as of Monday morning. Markets have priced in a 14% chance that the deal doesn’t go through.

(Event contracts are offered through Robinhood Derivatives, LLC — probabilities referenced or sourced from KalshiEx LLC or ForecastEx LLC.)