HBO Max and Paramount+ cannot be combined

Planned merger two major streaming platforms, HBO Max and Paramount+it might not happen after all.

That was the plan announced back in March After Netflix pulled out of the bidding war for Warner Bros. Discovery. However, a federal judge issued a restraining order preventing the transaction from being completed — at least for now…

A planned merger

The deal involved Paramount’s acquisition of Warner Bros. Discovery, which saw the company’s respective streaming platforms HBO Max and Paramount+ integrated into a single service.

Paramount executives did not provide any details on how the company will price the combined service or what it will be called. However, Paramount CEO David Ellison said he would not compromise the HBO brand. “HBO should remain HBO,” he said, citing a long history of quality programming. HBO will likely be a sub-brand within the larger service, according to a person familiar with Paramount’s plans.

Temporary restraining order

Audiences were not entirely enthusiastic about the plan, worried that it would reduce competition and thus raise prices. A coalition of 12 state attorneys general agreed and asked a federal court for a temporary restraining order on the operation. NBC News reports that it has been given now.

U.S. District Judge Araceli Martínez-Olguin of the Northern District of California issued a temporary restraining order barring Paramount, a corporate tie-up controlled by David Ellison, son of billionaire tech mogul Larry Ellison, that would combine two movie studios, two streaming platforms and two news organizations, from closing the deal.

While the arguments are being heard, the pre-trial detention will last for 14 days. Even if Paramount wins in this case, the merger plan is under review by both the European Union and the UK government. The Writers Guild of America also filed an antitrust lawsuit, arguing that the merger would result in fewer jobs and lower wages.