Paramount Skydance to invest Over $1.5 billion in new programming as streaming push accelerates

Paramount Skydance has announced plans to invest more than $1.5 billion in new programming next year, in a major push to strengthen its streaming business and revitalise its film studio. The announcement came as the company reported its first quarterly results since completing its $8.4 billion merger, sending its shares up 5% in after-hours trading.

The newly merged media giant projected total revenue of $30 billion by 2026, driven by improved profitability in streaming and greater operational efficiency. CEO David Ellison, who now leads the combined entity, has moved swiftly to reposition the company’s entertainment strategy following the merger of Paramount Global and Skydance Media in August.

Ellison outlined an aggressive plan to reinvigorate the legacy studio, noting that Paramount Skydance’s 2025 film slate had underperformed. He stated that the company’s immediate focus would be on developing a strong content pipeline, consolidating leadership structures, and improving production and distribution workflows.

In recent months, Ellison has struck several high-profile deals to expand the company’s creative portfolio. These include securing distribution rights for a new James Mangold heist film starring Timothée Chalamet, signing ‘South Park’ creators Matt Stone and Trey Parker to a five-year exclusive agreement, and forging a partnership with Activision to adapt the hit video game ‘Call of Duty’ for the big screen.

The company is also working to streamline its digital infrastructure by implementing a unified technology stack across Paramount+, Pluto TV, and BET+ — a move aimed at reducing costs while improving platform performance.

In addition to strengthening its existing assets — including CBS, Nickelodeon, Comedy Central, and MTV — Paramount Skydance has been exploring acquisition opportunities. It recently submitted multiple bids to acquire Warner Bros Discovery, which owns HBO Max, CNN, and TNT, signalling Ellison’s ambitions to expand the company’s footprint across film, television, and streaming.

For the third quarter, Paramount Skydance reported total revenue of $6.7 billion, slightly below analysts’ expectations of $6.97 billion, according to LSEG data. However, the company’s forward-looking strategy and bold investment plan appear to have reassured investors, marking a strong start for the newly combined entertainment powerhouse.