US states sue to block $110bn Paramount-Warner Bros merger

A coalition of a dozen US states led by California has filed a lawsuit seeking to halt the proposed $110bn (£85bn) merger between Paramount and Warner Bros, arguing it would stifle competition and raise consumer prices, according to BBC. California Attorney General Rob Bonta said the deal would harm audiences and could lead to higher prices, lower quality and less content. The states asked the companies to pause the transaction pending judicial review and said they could seek a temporary restraining order if they do not comply. The complaint argues the combined company would account for over a quarter of major film releases and, alongside Disney, Universal and Sony, four conglomerates would control 86% of that market. The BBC said the US Department of Justice approved the merger in June. Paramount called the lawsuit “fundamentally flawed” and said it would vigorously defend the transaction; the BBC said it contacted Warner Bros for comment.