HBO Max and Paramount+ bundle set for early 2027
Skydance has not disclosed a price and aims to integrate the services’ underlying technology within a year of the acquisition closing.
Skydance said it will offer a combined subscription package for HBO Max and Paramount+ in early 2027, outlining its streaming plans on 9 November alongside its first results since Paramount acquired Warner Bros. Discovery.
A shareholder letter from chief executive David Ellison and co-CEO Ynon Kreiz gave no price for the package. The company said further details would follow in the coming months. It plans to use AI tools to accelerate the technology integration, targeting completion within a year after the deal closed.
The financial results covered only Paramount because the acquisition closed on 6 October. Revenue increased 5% to US$7 billion, while adjusted EBITDA, a profit measure excluding some costs, totaled US$1 billion.
Paramount+ finished the quarter with 82.2 million subscribers, a 6% annual increase. The company reported 21% revenue growth for the service and an increase in engagement exceeding 20%. Its combined subscriber count for Paramount+, HBO and HBO Max was 203 million, without excluding customers who subscribe to multiple services. Skydance will end quarterly subscriber reporting from the fourth quarter.
AI workflows and coding tools also feature in Skydance’s plan to save at least US$6 billion annually within three years. On the earnings call, Ellison said AI would substantially change the business but would not replace artists, The Verge reported.
The shareholder letter put gross debt after the acquisition at US$87 billion, with about US$10 billion in cash. Skydance aims to reduce net debt to three times annual adjusted EBITDA by the end of 2029.
