Shares in Warner Brothers Discovery and Paramount Skydance have surged following reports that Paramount Skydance is preparing an offer to buy the rival studio.
The reported bid would be for the entire Warner Brothers Discovery business, which includes news network CNN, HBO, and the film studio behind Barbie and Harry Potter.
The deal would mark further consolidation in the US media industry, which has been dramatically reshaped by the rise of streaming, and comes as US media firms face scrutiny from US President Donald Trump's administration.
Warner Brothers Discovery declined to comment. Paramount Skydance did not respond to a request for comment.
The potential offer from Paramount Skydance was first reported in the Wall Street Journal.
