Paramount would need to significantly sweeten its offer by $10 billion to successfully acquire Warner Bros. Discovery (WBD), according to Ross Gerber, President and CEO of Gerber Kawasaki Wealth and Investment Management. Gerber made the comments live on Bloomberg TV on December 31st, 2025.

Paramount, controlled by Larry Ellison and his son David, initially proposed a $30-per-share cash bid for Warner Bros. on December 8th. This offer came three days after Warner Bros. accepted a deal with Netflix, which is only acquiring Warner Bros.' studio and streaming businesses. Paramount has since revised its offer twice, the latest iteration including a guarantee from Larry Ellison to personally secure $40.4 billion in equity financing and other commitments. Gerber's assessment suggests that even with Ellison's backing, Paramount's current valuation falls short of what would be required to outbid Netflix and secure the entirety of WBD.

The potential acquisition has significant market implications. A successful Paramount-WBD merger would create a media behemoth, challenging Netflix's dominance in the streaming landscape. However, the increased financial burden on Paramount, as highlighted by Gerber, could strain the company's resources and potentially impact its long-term financial stability. Conversely, if Paramount fails to acquire WBD, Netflix could benefit from a less competitive environment, further solidifying its position in the streaming market.

Paramount, owner of its namesake studio and MTV, has been actively seeking to expand its media empire. The proposed acquisition of Warner Bros., which owns HBO and CNN, aligns with this strategy. However, the deal's complexity and the competing offer from Netflix have created uncertainty in the market.

The future outlook remains uncertain. Paramount faces the challenge of convincing Warner Bros. shareholders that its offer is superior to Netflix's, while also managing the financial risks associated with a significantly increased bid. The outcome of this bidding war will likely reshape the media landscape and have lasting implications for the major players involved.