Paramount Sweetens Warner Bros. Discovery Bid with New Fees – Escalation in Streaming Merger Battle

Paramount Global has escalated its hostile bid for Warner Bros. Discovery by sweetening the deal with new fees and incentives, according to filings and reports from early February 2026. The move comes as Paramount continues pushing its $108.4 billion all-cash offer ($30 per share) for the entire company — a direct challenge to Netflix's revised all-cash proposal for WBD's studios and streaming assets (valued at ~$82.7B).Details of the Sweetened Paramount BidBase offer: Still $30 per share in cash (total ~$108.4B). New fees/incentives: Paramount has added a break-up fee (reportedly $2.5–$3B) payable to WBD if the deal is blocked or a superior offer wins. Financing: Backed by a $40B+ personal guarantee from Larry Ellison and sovereign wealth funds from Saudi Arabia, Qatar, and Abu Dhabi. Conditions: Offer remains conditional on WBD spinning off linear networks (CNN, Discovery, TLC) into "Discovery Global" as planned. The sweetened terms aim to address WBD board and shareholder concerns about execution risk and leverage (Paramount's offer would add significant debt).Current StatusWBD board: Continues to reject Paramount's bid as inferior and riskier. Netflix proposal: Still active (now all-cash), with regulatory review underway. Delaware Chancery Court: Paramount's lawsuit demanding more transparency on why WBD favors Netflix is ongoing. Timeline: WBD plans to complete the linear spin-off in Q3 2026, after which the studios/streaming would be sold or spun off. Implications for Streaming & HollywoodIf Paramount wins: Keeps CNN, Discovery networks, and linear TV while gaining HBO Max, Warner Bros. Pictures, DC Studios — creates a hybrid media giant. If Netflix wins: Gains HBO Max content, Warner Bros. slate, DC universe — supercharges its originals and ad-tier strategy. Regulatory risk: DOJ/FCC scrutiny on both offers due to streaming concentration and content ownership. At digital8hub.com, we track media mergers, streaming wars, Paramount vs Netflix, Warner Bros Discovery updates, and more. For deeper dives into deal structures, antitrust risks, or what this means for HBO Max subscribers, check our business and entertainment sections.The Paramount–WBD battle just got more intense — the sweetened bid keeps the pressure on, but Netflix's all-cash offer remains the board's preferred path. The next few months will be decisive.