**Ongoing state antitrust litigation and court-ordered delays make a 2026 close improbable.** Paramount Skydance’s $111 billion all-cash acquisition of Warner Bros. Discovery cleared major federal hurdles, including DOJ approval in June 2026 and EU clearance in July after Paramount exited its United International Pictures joint venture. Warner shareholders also approved the deal in April. However, a July 2026 lawsuit by 12 state attorneys general alleging reduced competition in streaming, film distribution, and cable triggered a temporary restraining order that a federal judge extended through at least mid-August. The companies later committed not to close before June 1, 2027 (or final legal resolution), with the antitrust trial now scheduled for March 2027. The merger agreement itself expires in March 2027 (extendable once). Settlement discussions with California’s attorney general are slated for late August, but recent reports highlight projected job losses exceeding 15,000 in Los Angeles and union pushback, adding political friction. With only four months remaining until year-end and no quick path around the litigation, market-implied odds heavily favor “No.”