The FCC Media Bureau granted Paramount a declaratory ruling that lifts the standard 25% cap on foreign ownership for broadcast‑license holders, permitting foreign investors to hold as much as 49.5% of the merged Paramount‑Warner Bros. Discovery entity.
Staff reviewers dismissed national‑security concerns, noting that the Ellison family will retain 100% voting control and that the foreign investors will not receive voting shares, thereby limiting any direct influence over the company’s broadcast licenses.
The approval comes with conditions: Paramount must promptly report any changes in foreign ownership or control and must obtain further FCC clearance before granting any voting rights to the foreign investors.
The foreign investors identified include Saudi Arabia’s Public Investment Fund, Qatar Investment Authority and Abu Dhabi Investment Authority, together accounting for a 38.5% stake, prompting opposition from consumer‑advocacy group Free Press and several Congressional Democrats who argue that governments with poor human‑rights records should not hold such a large interest in a U.S. broadcaster.
Democratic FCC Commissioner Anna Gomez publicly rebuked the staff‑level decision, saying the waiver effectively gives “some of the most repressive governments in the world indirect control” over a major American media company and calling for a full commission vote on the issue.
The merger itself remains entangled in antitrust lawsuits that have delayed its closing, meaning the FCC’s waiver does not guarantee the transaction will be completed.