The Hollywood rumor mill kicked into high gear last month after Warner Bros. Discovery confirmed it’s looking for a buyer. Paramount Skydance appears to be leading the race, with Comcast, Netflix and even Amazon circling on the sidelines. If a Paramount-WBD merger goes through, it would mark the largest industry consolidation since Disney acquired 20th Century Fox in 2019. One of the biggest questions it raises: What happens to the two streamers at the center of the deal—Paramount+ and HBO Max?
Reports suggest Paramount Skydance CEO David Ellison might fold HBO Max into Paramount+. To gauge what a combined platform might look like, it’s helpful to look at the data. “In August, Paramount+ was looking like a good value in terms of the demand for its content relative to the monthly cost. HBO Max was looking a bit overpriced relative to the competition—and that has only gotten worse since they announced further price increases,” Cristofer Hamilton, industry insight manager at Parrot Analytics, told Observer.
HBO Max most recently raised prices in October. Its basic ad-supported plan now costs $10.99 per month, while its ad-free tier runs up to $20.99. Paramount+ is cheaper, with its ad-supported plan at $7.99 and its ad-free tier at $12.99. Hamilton estimates that the demand for a hypothetical HBO Max/Paramount+ bundle would support a “market competitive” price of around $21 per month.
“I think HBO Max and Paramount+ could eventually become a kind of super streamer, but it would take time. On paper, the combined libraries and studio power would make it a serious rival to Netflix and Disney+,” Crystal Gorges, media analyst at The PR Group, told Observer.
Still, such a bundle would face stiff competition. Parrot data shows that audience demand for the Disney+/Hulu library currently exceeds that for HBO Max and Paramount+ combined. Disney’s aggressive bundling and Netflix’s global dominance would make it difficult for a new “super streamer” to break through without substantial discounts or aggressive promotions.
That said, the two platforms could offer complementary strengths. Paramount+ has more populist appeal—with hits like SpongeBob SquarePants and Yellowstone—while HBO Max leans prestige, thanks to series like The Last of Us and Succession. “Considering the fundamental differences in branding and tech infrastructure, short-term bundling and price promotions could draw the two services together in a meaningful way,” Sam Khoury, senior analyst at Ampere Analysis, told Observer. “It may also be viable to keep both brands in play and combine the services by market, depending on which brand resonates more at a territory or regional level.”
Adding to the uncertainty: Paramount will soon lose TV hitmaker Taylor Sheridan, who’s set to depart for NBCUniversal after his current contract expires in 2028. Sheridan’s shows not only dominate Paramount+’s Top 10 lists but have also generated an estimated $263 million in subscriber revenue for the platform in the U.S. and Canada since 2021, according to Parrot Analytics.
“Taylor Sheridan has really been the heartbeat of Paramount’s success over the last few years,” Gorges said of the creator behind 1923, Tulsa King, and Landman. “His storytelling built the foundation of what viewers now associate with Paramount+. He didn’t just make hit shows. He gave the platform its personality and a loyal fan base.”
The potential for a media powerhouse is there—but even if a deal happens, don’t expect it to reshape the streaming landscape overnight.
The merger would unite an extraordinary lineup of brands—HBO, DC, CNN, Nickelodeon, MTV and Paramount Pictures—but it would also bring massive debt and the challenge of integrating two sprawling corporate empires. The potential is real, but even if the deal moves forward, it won’t reshape the streaming landscape overnight.
