Congressman Asks FCC to Deny Paramount’s Request for Approval on Foreign Ownership (Exclusive)
Congressman Sam Liccardo has urged the FCC to reject Paramount's petition allowing Middle Eastern sovereign wealth funds to hold nearly 50% equity in the company post-merger with Warner Bros. Discovery. He argues that such foreign ownership, despite being non-voting, creates unacceptable national security risks and undermines editorial independence due to financial dependence. Liccardo emphasized that the FCC must uphold public interest standards and warned Congress may intervene if the agency approves the deal.
- ▪Saudi Arabia’s PIF, Abu Dhabi’s L’Imad, and Qatar Investment Authority have committed $24 billion for 38.5% equity in Paramount.
- ▪The total foreign ownership would reach nearly 50%, exceeding the 25% legal threshold requiring FCC approval.
- ▪Liccardo contends that financial control by foreign regimes poses national security risks, even without voting rights.
- ▪David and Larry Ellison would retain voting control via a dual-class structure, but foreign investors would hold most equity.
- ▪The FCC cannot block the deal outright but must approve the foreign ownership structure.
Opening excerpt (first ~120 words) tap to expand
Rep. Sam Liccardo (D-CA) Photo by Anna Moneymaker/Getty Images Share on Facebook Share on X Google Preferred Share to Flipboard Show additional share options Share on LinkedIn Share on Pinterest Share on Reddit Share on Tumblr Share on Whats App Send an Email Print the Article Post a Comment Logo text Rep. Sam Liccardo has sent a letter to Federal Communications Commission Chairman Brendan Carr, urging him to reject Paramount’s petition that would allow three Middle East sovereign wealth funds to own a significant equity stake in the company once its takeover of Warner Bros. Discovery is complete.
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Excerpt limited to ~120 words for fair-use compliance. The full article is at The Hollywood Reporter.
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