It has been reported that Shari Redstone, the President of National Amusements and Vice Chair of Paramount Global, is in talks with David Ellison, the Founder and CEO of Skydance Media, to sell a controlling stake in National Amusements’ parent company, Paramount Global. This could have a significant impact on the media industry. The news was first reported by The New York Times.

The talks center around the Redstone family selling off their controlling interest in National Amusements, which currently owns roughly 79% of Paramount Global shares, effectively giving whoever acquires National Amusements control over the multi-billion dollar media conglomerate behind blockbuster film franchises like Mission Impossible and Star Trek as well as broadcast and cable TV networks like CBS, SHOWTIME, and Comedy Central.

Skydance Media, of which David Ellison has been CEO since its founding in 2010, is best known as a co-producer on high-profile films including the recent Top Gun sequel Maverick as well as the last three Star Trek films and Terminator Genisys. Backed by several high-profile investors like KKR, Tencent, RedBird Capital and the Ellison family, Skydance raised $4 billion in its most recent valuation, giving it significant financial firepower for such an acquisition play.

The timing aligns with broader shifts across the media landscape, as cord-cutting eats into the bottom lines of traditional TV networks and movie studios scramble to bulk up their streaming offerings. Paramount Global in particular has lagged in the streaming wars, losing hundreds of millions a quarter on its streaming service Paramount+ which remains a distant fourth behind behemoths like Netflix, Disney+ and Max (formerly HBO Max).

If Ellison and Skydance can acquire control successfully, Paramount Global could see a radical transformation under new leadership looking to reorient it toward streaming and interactive content. But whether the closely held National Amusements is truly up for sale remains an open question, with a trust that includes Shari Redstone controlling the company’s voting shares. Ellison and Skydance seem poised to shake up the industry should a deal come to fruition.