FCC lets Paramount sell 49.5% equity stake to Saudi Arabia, UAE, and Qatar
FCC rejects concerns about repressive governments buying influence over CBS owner.
The Federal Communications Commission has granted Paramount Skydance's request to sell significant equity stakes in the company to the sovereign wealth funds of Saudi Arabia, the United Arab Emirates, and Qatar. According to US law, entities operating broadcast stations must obtain FCC approval before acquiring more than 25 percent ownership of a company.
Paramount has disclosed that its indirect foreign ownership will surge to 49.5 percent following investments from the mentioned sovereign wealth funds. The company filed a petition requesting the FCC to waive the foreign ownership restriction. Paramount, the parent company of CBS, holds FCC licenses for the 28 local CBS stations it operates.
The merger of Paramount with Warner Bros. Discovery, valued at $111 billion, is partially funded by foreign investment, although the acquisition has not been finalized due to a lawsuit filed by US states aiming to prevent the merger. The Department of Justice, under the Trump administration, has approved the merger.
Written by urgent.news from Ars Technica's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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