Media giants Viacom and CBS to merge in latest mega

Media giants Viacom and CBS to merge in latest mega

Six will come from independent members from CBS, four independent members from Viacom, Bakish, and two National Amusements members.

As The Post recently reported CBS has recently considered acquiring Take-Two, the gaming company run by CBS interim chairman Strauss Zelnick, Sony Pictures and MGM. The market value of CBS Corp.is about $18 billion. One news outlet described management's vision as "a blockbuster. move which is created to bring the network of Dan Rather in touch with the MTV generation".

One of the key motivations for combining, they said in a joint release, was streaming video.

The troubled merger has been in talks for more than three years, with former CBS CEO Leslie Moonves taking the lead on opposing the reunification. To expand its library, Disney bought Fox's entertainment businesses for $71 billion in March, while DirecTV owner AT&T bought Time Warner past year for $81 billion. And it's another indication that, with streaming increasingly becoming the go-to choice for consumers, media conglomerates need to seriously consider combining in order to compete with behemoths like Netflix ($NFLX), AT&T ($T), and Disney ($DIS).

He said a big question will be whether the new company will focus on subscription offerings, such as CBS All Access and Showtime, or free, ad-supported ones, like the Viacom-owned Pluto TV. "It would also have greater combined scale of content production, diversity and distribution".

If you work in this industry long enough, you'll see how cyclical it can be.

The companies said they expected about $500m cost savings from the tie-up, which brings together a movie studio, string of cable channels, and some of US TV's most-watched shows, including 60 Minutes and The Big Bang Theory. Shari Redstone is the president of National Amusements and vice-chairwoman of both CBS and Viacom.

More news: Watch the First Trailer for Greta Gerwig’s LITTLE WOMEN
More news: Man pushes BMW into river after parents refused to buy Jaguar
More news: Saudi Aramco drops $15bn buying into India, despite profits slide

The daughter of Sumner Redstone said: "My father once said 'content is king, ' and never has that been more true than today".

Both CBS Corp. and Viacom have always been controlled by Sumner Redstone, 96, and more recently his daughter, Shari, 65, through their family's privately owned company, National Amusements, which operates movie theaters in the US, United Kingdom and Latin America.

This would mean that for the first time since the two companies split in 2005, the Star Trek franchise - TV and movie rights alike - would be housed under one roof. But Moonves was against the idea, as CBS was stronger and more profitable than Viacom. The changes paved the way for Tuesday's announcement.

The all-stock deal will give CBS shareholders about 61% of the combined company and Viacom shareholders the rest. The Redstones' National Amusements would retain control of the combined ViacomCBS through its ownership of Class A voting shares that now represent almost 80% of the shareholder votes at both companies.

Acting CBS CEO Joe Ianniello, who will head the CBS business in the combined company, said in a call with analysts that the company might add content from Nickelodeon, BET, MTV and Comedy Central to CBS All Access and Paramount movies to Showtime.

That isn't stopping Viacom CEO Bob Bakish, who will lead the combined company, to declare that ViacomCBS will be "one of only a few companies with the breadth and depth of content and reach to shape the future of our industry".

Related Articles

  • All of Kansas at West Nile virus risk

    All of Kansas at West Nile virus risk

    The city has reported its first case of West Nile virus in a human this year, Toronto Public Health has confirmed. Symptoms of the virus usually develop two to 14 days after a person is bitten by an infected mosquito.
    Mike Perry's Nose Shattered in Split Decision Defeat

    Mike Perry's Nose Shattered in Split Decision Defeat

    Mike Perry's nose got so broken, twisted, and mangled he was taken to hospital after a UFC fight Saturday. Perry, meanwhile, is expected to stay in Montevideo for at least a couple days before returning home.
    Spectacular Meteor Display To Light Up Irish Skies

    Spectacular Meteor Display To Light Up Irish Skies

    According to NECN , the sky can flaunt from 50-100 meteors per hour, but the moon will adversely affect this year's show. The meteors have been shooting through the sky since July, but the shower will reach its peak on Tuesday morning.
  • United States  stocks fall on Hong Kong protests, trade worries

    United States stocks fall on Hong Kong protests, trade worries

    Spot gold rose 0.3 percent to $1,515.32 per ounce as of 0334 GMT, after hitting its highest since April 2013 at $1,518.03. Second-quarter reporting season is approaching the finish line, with 452 of the companies in the S&P 500 having reported.
    Ruiz Plays Oliver Twist, Demands More Purse for Rematch with Joshua

    Ruiz Plays Oliver Twist, Demands More Purse for Rematch with Joshua

    Khan said he did not regret agreeing to the trip, despite Amnesty describing the Saudi Arabian human rights record as "abysmal". The rematch had been widely touted but Cardiff's Principality Stadium was tipped as favourite to stage the event.
    WhatsApp's fingerprint unlock feature arrives on Android in latest beta

    WhatsApp's fingerprint unlock feature arrives on Android in latest beta

    Right now, the 2.19.3 beta update is rolling out in batches and it's yet to pop up on Google Play Store as well. You can then select how frequently you want WhatsApp to prompt you to use your biometrics to unlock the app.
  • Jay-Z Partners with National Football League  to Oversee Entertainment, Social Justice Activism

    Jay-Z Partners with National Football League to Oversee Entertainment, Social Justice Activism

    The N.F.L.is keen to portray the Roc Nation deal as a way to bring more high-profile entertainers to its events. How that plays out on both the entertainment and social initiatives fronts figures to be newsworthy.
    Microsoft thinks The Outer Worlds could be ‘an enduring franchise’

    Microsoft thinks The Outer Worlds could be ‘an enduring franchise’

    There's still a long way to go before Project Scarlett is here, as Microsoft isn't planning to launch it until late 2020. Microsoft could be targeting actual 4K 60FPS for games on Project Scarlett .
    Three dogs die hours after swimming in pond with toxic algae

    Three dogs die hours after swimming in pond with toxic algae

    In addition, toxins produced by cyanobacteria can be present in waters even when an algal bloom is not visible. Even dogs that avoid the water may be in danger. "I would give anything to have one more day with them".
  • Opera Legend Placido Domingo Accused of Sexual Harassment by 9 Women

    Opera Legend Placido Domingo Accused of Sexual Harassment by 9 Women

    If they did join him for a meal, they said they were told to avoid alcohol and meet at a public place - for lunch, not dinner. Wulf recalled the compassion of a male colleague who offered to stand up for her if she wanted to report him.
    Charlie Manuel has replaced John Mallee as hitting coach

    Charlie Manuel has replaced John Mallee as hitting coach

    The team now ranks 24th in the majors in batting average (.245), 23rd in home runs (149) and 22nd in slugging percentage (.738). Charlie Manuel will serve as the team's hitting coach for the remainder of the season, the club announced on Tuesday.

    Little Women Trailer #1 (2019) | Movieclips Trailers

    Directed by Greta Gerwig , the first trailer for Little Women dropped this evening and already, it's caused a massive stir. Little Women reaches U.S. theatres December 25 and United Kingdom cinemas December 26.