Avatar's Parent Company Closes Its Warner Bros. Discovery Deal

Paramount Skydance completed its roughly $110 billion acquisition of Warner Bros. Discovery on October 6, 2026. The combined company uses the Skydance name in press materials and at skydance.com. Contrary to some reports, paramount.com still runs as its own site.

The deal closed after a settlement with 12 state attorneys general. The divestitures reported by TheWrap, including BET, Comedy Central and VH1, do not include any children's networks. During the European review, Bloomberg had reported that Paramount was willing to sell some kids TV assets.

A memo from David Ellison and Ynon Kreiz warned of layoffs during the integration. No effect on Avatar Studios has been reported. Michael Dante DiMartino and Bryan Konietzko are still its co-chief creative officers, and three days after the close they announced a renewal and a new series at NYCC.

It is the second ownership change in just over a year. Skydance's takeover of Paramount closed in August 2025. In October 2025, Ramsey Naito, the executive Avatar Studios' leaders originally reported to, left Paramount Animation amid cuts that Cartoon Brew said affected about 2,000 US workers.