# EU Approves Paramount's Acquisition of Warner Bros. Paramount can proceed with the Warner Bros. Discovery merger by ending its partnership with Universal. - **Source:** [Engadget - Technology News & Expert Reviews](https://brifing.si/source/16dd2da6-3eea-4d1e-b34f-45e846cdf037) - **Published:** 2026-07-22 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/c6c0a4f1-6359-4de2-acaa-4cfa8cf232a7 ## Conditional Approval from the EU The European Union has approved Paramount's merger with Warner Bros. Discovery, provided it terminates its joint distribution business with Universal. This decision aims to preserve fair competition. ## Issue with Universal Partnership Paramount and Universal jointly operate a distribution company in Europe called Universal International Pictures (UIP). Regulators identified this partnership as a potential threat to competition when combined with Warner's film portfolio. ## Competition Concerns The European Commission stated that the merger would lead to Warner films being distributed through UIP, creating unfavorable terms for cinema operators and ultimately disadvantaging consumers. ## Paramount's Commitments Paramount has committed to withdrawing from its joint distribution business within 13 months of the merger's completion and to not collaborate with Universal on film distribution for ten years. ## Legal Hurdles in the US While US federal officials have approved the merger, twelve states have filed lawsuits citing competition concerns. A judge has temporarily halted the merger for two weeks. ## Time and Cost Pressure If the merger isn't completed by the end of September, Paramount will face additional costs of approximately $7 million per day, adding significant pressure to the process. ## Sources covering this story - https://www.engadget.com/2221157/eu-gives-paramount-warner-bros-acquisition-the-go-ahead/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._