Now Streaming: FCC clears Paramount-Skydance deal

“Now Streaming” is The Fly’s weekly recap of the stories surrounding the biggest content streamers.

PLAYING THIS WEEKEND: This weekend’s most notable new streaming content release is Netflix (NFLX) comedy film “Happy Gilmore 2,” a sequel to the 1996 movie starring Adam Sandler, Julie Bowen, and Christopher McDonald. Meanwhile, Hulu (DIS) subscribers can catch drama miniseries “Washington Black,” starring Ernest Kingsley Jr. and Sterling K. Brown. Paramount+ (PARA) subscribers can view new episodes of animated comedy series “South Park,” currently in its 27th season, while Apple TV+ (AAPL) users can watch seeason four of comedy series “Acapulco,” starring Eugenio Derbez.

PARAMOUNT: On Thursday, the U.S. Federal Communications Commission approved the merger between Skydance Media and Paramount Global. Commissioner Olivia Trusty said, “I support today’s approval of the Paramount Global and Skydance Media merger. This transaction reflects the free market at work, where private investment, not government intervention, is preserving an iconic American media institution. During its review of the transaction, the Commission determined the merger was lawful and would serve the public interest. This deal brings fresh leadership, new capital, and a clear plan to compete with dominant tech platforms. Skydance’s commitment to creative excellence and operational discipline offers New Paramount a real path forward in today’s challenging media environment. This is a win for American jobs, American storytelling, and the principle that markets, not Washington, should decide the future of our industries. I want to thank Chairman Carr for his leadership in bringing the merger to a full Commission vote. His commitment to transparency and process has ensured that this matter received the thorough consideration it deserves.”

The news comes amid a stormy time for the CBS parent. Following the announcement last week that “The Late Show with Stephen Colbert” would end in 2026, the Writers Guild of America East and Writers Guild of America West issued a joint statement calling for an investigation into Paramount’s decision to cancel the show just days after Colbert accused the company on air of making a “big fat bribe” to the Trump administration. in exchange for a favorable decision on the Skydance deal. Meanwhile, the president reported a day earlier that the deal values the rights at $300M per year, meaning the show will bring in $1.5B for streaming alone.

NETFLIX/RUNWAY: Netflix is using AI video generation software from startup Runway AI in content production, Bloomberg’s Rachel Metz reported earlier this week, citing a person familiar with the matter. Meanwhile, Disney has been testing out Runway’s technology and has talked with the startup about possible uses for its generative AI tools, but has no plans to integrate it into its content production pipeline at this time, according to the report. Netflix co-CEO Ted Sarandos said the company is using AI in content production, including creating special effects shots more quickly and cheaply than with traditional visual effects tools and processes.

NBC SPORTS: Comcast’s (CMCSA) NBCUniversal is in the early stages of discussing launching a sports cable network that may debut early fall, Joe Flint of The Wall Street Journal reported this week, citing people familiar with the matter. The channel would mostly show sports also streamed on NBCU’s Peacock platform and would be offered to distributors as part of specialty packages, sources added.

Not longer after the WSJ report, Churchill Downs (CHDN) and NBC Sports announced that NBC Sports will showcase the Kentucky Oaks in primetime for the first time in 2026. The 152nd Kentucky Oaks will be presented on Friday, May 1, 2026 on NBC and Peacock. “By moving the Kentucky Oaks to primetime, we’re giving one of horse racing’s most treasured traditions the national stage it deserves,” said CDI CEO Bill Carstanjen. “This decision is rooted in our commitment to growing the sport, reaching new audiences and creating unforgettable experiences for our fans.”

ROKU CITIZENS: Citizens JMP raised the firm’s price target on Roku (ROKU) to $110 from $95 and keeps an Outperform rating on the shares. By integrating with third-party DSPs, such as its recently announced partnership with Amazon (AMZN), Roku has a significant opportunity to drive more demand onto its platform, the analyst tells investors in a research note.

STOCK PLAYS: Other publicly traded companies in the space include FuboTV (FUBO), Warner Bros. Discovery (WBD), AMC Networks (AMCX), and Fox Corporation (FOX).